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Report: HP Moves Part Of Notebook Production From China To Japan
CrunchGear ^ | June 17, 2011 | Serkan Toto

Posted on 06/18/2011 3:57:21 PM PDT by BfloGuy

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labor costs in Japan are about four times higher than in China

Ah, but labor costs are just one of many production costs. And there's also the fact that Japan's central bank has virtually eliminated inflation -- the Yen's purchasing power has been stable for years.

This provides a good environment in which to do business and allows consumers to benefit from dropping prices due to productivity improvements.

The conventional wisdom these days is that Japan is in a long, slow decline. The conventional wisdom is wrong. Their GDP may be stagnant, but GDP growth is dependent on an inflating currency.

The Japanese aren't stupid. They continue to produce more goods with fewer people. Capital continues to be invested, living standards are rising and their export machine just keeps cranking.

Don't believe the Keynesian-trained ignoramuses who pontificate about Japan's lost-decades. They don't have a clue what they're talking about.

1 posted on 06/18/2011 3:57:27 PM PDT by BfloGuy
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To: BfloGuy
I meant to say that the Yen's purchasing power has been increasing for years. The Keynesian's call that deflation, but the Central Bank isn't decreasing the money supply, it's just not expanding it.

Japanese consumers enjoy the ability to purchase more each year for the same amount of Yen. This is supposedly a bad thing; I can't, for the life of me, see why.

2 posted on 06/18/2011 3:59:52 PM PDT by BfloGuy (Money, like chocolate on a hot oven, was melting in the pockets of the people.)
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To: BfloGuy

Good maybe HP quality will go up. I know the last two notebooks I bought from them were junk...


3 posted on 06/18/2011 4:01:22 PM PDT by ColdSteelTalon (Light is fading to shadow, and casting its shroud over all we have known...)
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To: BfloGuy

Amazing, isn’t it? Only two months ago, FR’s doomsday chorus all but predicted the end for Japan. Luckily, Japan was having none of it, and got to work instead of wringing their hands and posting pictures of “black swans” and crying “the end is nigh!”


4 posted on 06/18/2011 4:05:10 PM PDT by Larry Lucido
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To: BfloGuy

You are correct and people are starting to see that China can’t keep the quality aspect up. Consumers choose not only on price but on quality.

China still means cheap build quality
Japan means excellent build quality

HP should bring home the bacon

USA non-union shop means excellent build quality also, and lower shipping costs for US Customers. Since they are in HOUSTON, they could have build right in their back yard and done very well with Tax and quality.


5 posted on 06/18/2011 4:16:18 PM PDT by King_Corey (www.kingcorey.com)
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To: BfloGuy

why don’t they move it to some rural u.s. location?


6 posted on 06/18/2011 4:17:47 PM PDT by ken21 (liberal + rino progressive media hate palin, bachman, cain...)
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To: Larry Lucido
The end of Japan is coming due an imploding fertility rate.

HP Japan hiring 50% more workers means nothing to Japan's survival.

7 posted on 06/18/2011 4:19:13 PM PDT by Reaganez
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To: Reaganez

You may have a point about the fertility rate. But do present trends always predict future trends?

In any case, my point was about productivity and industriousness. The Japanese may need to “get busy” in other ways, too. :-)


8 posted on 06/18/2011 4:22:40 PM PDT by Larry Lucido
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To: BfloGuy

The “Made in Japan” label is very powerful here. In some cases, people are willing to pay up to twice to get a Japanese-made product.

While part of the reason is superior workmanship, another reason is simple patriotism and a feeling that Japan has been abused by China in resent years.


9 posted on 06/18/2011 4:23:09 PM PDT by Ronin ("A society of sheep must in time beget a government of wolves" -- Bertrand de Jouve)
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To: Ronin

Recent... Ugh, no posting before coffee...


10 posted on 06/18/2011 4:24:39 PM PDT by Ronin ("A society of sheep must in time beget a government of wolves" -- Bertrand de Jouve)
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To: BfloGuy

My Touchsmart 300 was “ assembled “ in Tokyo , but virtually all the parts were made in China as far as I know . Lots of trouble with it during the first year : had to send it back for repair 3 times ( they would NOT replace it despite major hardware defects ) . I don’t care where they make their computers ; I’d never buy another HP . And I live in Japan !


11 posted on 06/18/2011 4:25:10 PM PDT by sushiman
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To: ken21

“why don’t they move it to some rural u.s. location?”

I second that motion in a big way.


12 posted on 06/18/2011 4:25:33 PM PDT by HereInTheHeartland (2008 was about words; 2012 will be about numbers)
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To: Larry Lucido

No,but they are the best predictor.

If we can’t use current trends then there is no point in any kind of speculation.

FR can only discuss the present and the past.

How interesting would that be?


13 posted on 06/18/2011 4:27:48 PM PDT by Reaganez
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To: BfloGuy

But will they be radioactive?


14 posted on 06/18/2011 4:32:33 PM PDT by MissMack99 (BO Stinks!)
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To: HereInTheHeartland

“why don’t they move it to some rural u.s. location?”

-

Because we do not demand it.

We should. It is the only way we will bring our jobs back.

Raise cane. And do not make it painless for companies to outsource.

“Free trade” is not our friend.


15 posted on 06/18/2011 4:40:14 PM PDT by Cringing Negativism Network (BUY AMERICAN. The job you save will be your son's, or your daughter's)
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To: Reaganez

But the fallacy of predicting future trends based on snapshot trends has been illustrated before. I think it was called the Malthusian catastrophe or something like that. I’ll have to look it up, but the long and short of it is that continued indefinite geometric population growth was as unlikely in the 1800s as would be indefinite geometric population decline now, notwithstanding current trends.

Of course, I could be wrong.


16 posted on 06/18/2011 4:43:50 PM PDT by Larry Lucido
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To: ColdSteelTalon

i agree.....


17 posted on 06/18/2011 4:47:39 PM PDT by Sacajaweau
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To: Larry Lucido
John Maltuhus had a fundamental misunderstanding of economics not of statistics. Supply was largely determined by demand. Population determined agricultural methods not the reverse.

The Data for declining Japanese fertility rates is more than a snapshot. It has been decades. Plus this is not an economic problem or a resource problem. It is a sociological/political one.

Japan is pretty much out of carrots to increase fertility rates.

It needs to use sticks.

That would need a break with its current post-war liberal-democratic traditions.

Of course it could enter a brave new world and the central government can manufacture people in the future I suppose. I would argue that “Japan” would be finished and something new has arisen.

18 posted on 06/18/2011 5:03:45 PM PDT by Reaganez
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To: HereInTheHeartland; Cringing Negativism Network; Ken
“why don’t they move it to some rural u.s. location?”

Due to the Obama regime's business hostile policies, Obamacare mandates and union support, no business can possibly create new jobs here at home without suffering for it.

19 posted on 06/18/2011 5:15:02 PM PDT by Caipirabob ( Communists... Socialists... Democrats...Traitors... Who can tell the difference?)
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To: Caipirabob

Obama’s administration is already more than half over.

It is time to start planning for when the GOP takes over.

We’ll need jobs.


20 posted on 06/18/2011 5:16:50 PM PDT by Cringing Negativism Network (BUY AMERICAN. The job you save will be your son's, or your daughter's)
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