Maybe some are trying to re-invent the wheel. Although I am not a Harvard graduate, I am able to add and count. I do not use the new modern math. So this would be a good thing that my IPhone was made/manufactured/sent from China? I feel much better knowing the idea came from America, so I purchased an American product........... now lets go find that company and tax em, where did I put my abacus?
Breaking down imports and exports in terms of the value-added from different countries can lead to some controversial conclusions. Some U.S. lawmakers, for instance, argue China needs to let its currency rise significantly against the U.S. dollar in order to reduce the trade gap between the two nations.
The value-added approach, in fact, shows that sales of the iPhone are adding to the U.S. economy—rather than subtracting from it, as the traditional approach would imply.
Based on U.S. sales of 11.3 million iPhones in 2009, the researchers estimate Chinese iPhone exports at $2.02 billion. After deducting $121.5 million in Chinese imports for parts produced by U.S. firms such as chip maker Broadcom Corp., they arrive at the figure of the $1.9 billion Chinese trade surplus—and U.S. trade deficit—in iPhones.