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Politics : Ask Michael Burke

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To: Skeeter Bug who wrote (21507)8/14/1997 10:12:00 PM
From: Don Lloyd   of 132070
 
SB,<<these numbers are hard to believe. take the electronics industry. smt is several hundred (perhaps thousand) times more productive than pin through >>
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This is a good example. To my way of thinking, a given productivity improvement may not end up as measurable macro result if it becomes a
competitive requirement rather than an advantage. Any company that doesn't
use SMT assembly will go out of business. The remaining companies will competitively drive the price down so that both revenues and profits are not directly driven by the improvement in productivity, but are limited by the competitive environment. To some degree, the macro improvement in productivity may depend on the increased demand from lowered prices, and not from the production process itself. Just a thought.
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Regards, Don
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