Commenter Thread

Comments on From the Chinatalk substack by wj

Obviously, efficiency is a good thing, but if you think of it as superseding all other things, you may miss a lot.
There is also the difficulty that "efficiency" can mean very different things to different people. And, in my observation, almost none of them are even aware that they are using the word differently.

I don't think I quite buy the thesis that (some? many?) Western economists want to make China "just like us.". For the simple reason that we are not "just like us". At least, not like the "us" that economists typically use to describe the populations whose behavior they are modeling.
To take just one example, economics, as I understand it, has no concept of "enough". It assumes that every individual will always act in order to accumulate wealth. Regardless of whether he already has more than he could ever spend. Certainly there are such people. But they are pretty clearly a) atypical, and b) seriously psychotic. Somebody spending the weekend volunteering in a soup kitchen, rather than hustling for another million? Unthinkable.

American industry has been inflicted with a plague of MBAs.
This
I'm willing to believe that someone who has actually worked for some years, including some years as a low level manager, could find an MBA curriculum useful. But someone right out of an undergrad degree program? No. And, sadly, that seems to be what we are mostly afflicted with.
We need a W.S. Gilbert to write an analog to "I am the very model of a modern major general". It encapsulates the situation so well.

America definitely has advantages in excavating "innovation points" that have clear commercial value and market acceptance, but when it comes to those "1.1 improvements"—the continuous polishing and optimization—the gap compared to China is obvious.
Most of us here are probably old enough to remember when Kaizen, the Japanese term for continuous improvement, was a hot topic. Japanese car manufacturers, especially Toyota, (and other Japanese manufacturers) were eating American manufacturers lunch. This was the explaination. A lot of American manufacturers even made a big deal about adopting it.
Of course, if you dig deeper, the originator of the whole concept was an American (W. Edwards Deming). But until the Japanese made spectacular use of his ideas, he had trouble getting a hearing in the U.S. From the sound of it, perhaps American manufacturers have lost the thread. Again.