How the iPhone Widens the U.S. Trade Deficit with China
April 09, 2011 at 22:57 PM EDT
What can the iPhone tell us about the trade imbalance between China and the US? This column argues that current trade statistics greatly inflate the value of China’s iPhone exports to the US, since China’s value added accounts for only a very small portion of the Apple product’s price. Given this, the renminbi’s appreciation would [...]
