Productivity determines pay. And Americas services workers are among the worlds most productive, with an average workers output at $80,000. U.S. services providers are productive because theyre well educated and highly skilled. The capital of our times is human, not mechanical. Yesterdays factory workers brought strong backs, steady eyes and sure hands to the production process, while the capitalist provided the buildings and machinery. Todays service Stock Market Genie companies may provide office space and computers, but the workers create value with their minds. The engine of the knowledge economy can be found not in sooty factories but atop our necks: It is the human brain. This is particularly true of the services we export, which skew toward the highly sophisticated output of well-educated and skilled workers.

Economic theory tells us that nations will export what can be produced by factors they have in relative abundance. This is the principle of comparative advantage. Countries with significant mineral wealth will sell oil or copper. Those with large tracts of fertile land will sell wheat, corn or beef. Those with cheap labor and large stocks of machinery Make 100 K in a day think Chinawill sell run-of-the-mill factory goods. Americas highly knowledgeable and experienced services workers are our nations relatively abundant factor. That is what we sell to the world. That is where our future lies.

Financing

commodity future trading system