Years ago, I had an internationally recognized economist tell me it didn’t matter if the U.S. physically manufactured a single thing. After all, the value added proposition of many finished products, if not most, is in the design, engineering and technology. In her way of thinking, the production process is a means to an end, and people don’t really pay for it. They pay for the creativity behind the product or service.
If this seems a little strange, ask yourself: Do you know who made, say, your iPhone? I mean the actual names of the people making the component parts on assembly lines around the world, specifically for your unit. Of course not. However, who created it? That is a much easier question to answer, isn’t it?
If you don’t think it is, how about this: When you pay for a light bulb, are you paying for the glass and the packaging, or are you paying for the technology that provides the light?
(Read the full article as previously published in the Montgomery Advertiser on June 26th, 2017)