After more than two decades of healthy annual advances,American nonfarm productivity growth declined and sometimes reversed after 1973.
Last year it grew nearly 3%,much of it due to blood-curdling corporate restructuring that was marked by increased automation,layoffs and lower wages.
Customers balked,Wang abandoned the office-equipment business and filed fr bankruptcy last year.
BM also tried and failed,
as did oil giant Exxon,which ended up selling off its office-automation division in 1984 after investing more that $2 billion in it.
Africa has become the basket case of the planet,
he "Third World of the Third World,"a vast continent in free fall.
Sometimes called the world's richest basket case
because of its wealth of such natural resources as teak and minerals.
Burma needs foreign aid and investment to modernize.
With AT&T,Craig McCaw moves one step closer to realizing his biggest dream:
building the first nation-wide cellular telephone network.
Since the storm had knocked out telephone lines.
Allstate rushed to set up its own communication system,
consisting of 80 shortwave radio units,850 pagers,173 cellular phones and a toll-free number.
By staking a position in the cellular phone market,MCI takes its battle against AT&T to new heights.
Last week,when the news of the Chunnel breakthrough was announced,
the Sun,Britain's leading tabloid,cautioned its readers.
"It won't be long before the garlic-breathed bastilles will be here in droves once the Channel Tunnel is open."
Deep in the British psyche there is a reservation about ending the island-nation status.
Chapter 11 bankruptcy
Just a week earlier the airline had veered away from a return trip to Chapter 11 bankruptcy protection,from which it had emerged four years ago.
Ames Department Stores(fiscal 1989 sales;$ 3.4 billion)declared bankruptcy under Chapter 11
as the result of lingering complications from its 1988 acquistion of the Zayre chain.
Procter $ Gamble announced that it was taking a $102 million after-tax charge on its third-quarter earnings
because it was "badly burned" by two derivatives contracts.
Derivatives-abstractions of stocks,bonds and futures-are a huge business($4.5 trillion in contraxts),
but pose a danger to world financial markets because of lack of regulation.
As such,they are often called the junk bonds of the '90s.
They had charged that Papandreou ordered state companies to deposit funds in the private bank at a time when its owner was suspected of embezzlement.
Papandreou was also accused of taking bribes from the bank owner.
Among other things,the Finance Ministry gave investors easier access to borrowed money and curbed the hours of futures trading.
"He was proud of his expertise.He was very much in love with himself."
Last year the feds and local police busted Wills' six-man,14,000-sq.-ft."chop shop" set in an industrial park in Bensalem,Pennsylvania.
The first bombs accomplished little,
so U.S. warships on Sunday fired Tomahawk cruise missiles at an Iraqi industrial park near Baghdad
that Washington said housed a nuclear facility.
In 1990 News faced a liquidity crisis caused by the recession,a huge drop in advertising revenues,
and Murdoch's reliance on short-term loans at a time when interest rates were rising rapidly.
It might also avoid the kind of public relations debacle Detroit's fat cats endured last week.
And though all are supposed to hold down the zooming increase in medical costs,
the competing plans would rely on market mechanisms while Clinton would try tight,mandatory limits on increases in insurance premiums.
Options include a short-term freeze on prices charged by doctors,hospitals,laboratories and nursing homes,and a cap on insurance premium increases.
Delphi,which was purchased by Rupert Murdoch's News Corp.in September,
began providing its customers full Internet access last summer.
In all,thieves last year ripped off up to $40 million worth of chips from California's Silicon Valley,according to the FBI.
When Apple Computer co-founder Steven Jobs burned out 10 years ago,the Silicon Valley company brought in marketing maven John Sculley.
苹果电脑的共同创办人Steven Jobs 10年前精疲力竭地离开公司，这家硅谷公司找来营销专家John Sculley。
Now it is Sculley who has apparently flamed out.
He has stepped down as CEO,but will stay on as chairman to focus on new business opportunities.
Republican fund raisers such as Floyd Brown see a bait-and-switch tactic
that they hope to capitalize on by portaying her as massively influencing everything from the appointment of the deputy assistant undersecretary for technology transfer to a decision on whether the U.S. should bomb Serbian artillery lines.
The U.S. joined the other 16 members of the Coordiating Committee for Multilateral Export Controls,
which monitors the transfer of technology to communist countries,
in approving the sale of sophisticated machine tools,telecommunications equipment and computers to those nations if they put in place safeguards to protect the Western technology.
"The U.S.claims that our keiretsu-ka of banks and other financial institutions is outrageous.
I don't agree.It's an idiosyncrasy of the Japanese economy."
The strategy is vertical integration,a coordinated system to offer patients whatever they need,
from X rays to transplants,in the setting that makes the most sense.
The Devil's in the Derivatives
1.Even Marcia Stasch got caught.
She had sold securities for a living and so,naturally,she read the prospectus and the brochures from the local brokerage of Piper Jaffray that came on heavy-card stock paper.
They offered a government bond fund that seemed the perfect place to invest the $50,000 Stasch's 86-year-old widowed mother had made after selling her home in Minneapolis,Minnesota.
Not only did Piper tout the triple-A-rated fund as a low-risk investment,but also said it would produce enough income-$318 a month-to pay her mother's rent.
"I told Mom,‘This is your decision,but I'm comfortable with it,’"Stasch recalls.
2.When the first dividend check arrived for her mother is February,however,the investment was already worth several thousand dollars less.
It shrunk even further in March.
But it was not until the Mother's Day weekend in May that Stasch learned from a newspaper article what her mother had really bought:
far from being a safe investment,the fund was loaded with volatile securities called derivatives
that had gone into a free-fall when interest rates shot up.
"I told my family not to panic,but I was thinking,‘My God,what did I get into?’"Stasch says.
Fearing that her mother would lose all her money,Stasch dumped the fund-at $14,000 loss.
"I'd never heard of derivatives,"she says "I cried and she cried."
3.In recent months a humiliating lesson has come to households,boardrooms and town halls across the country:
derivatives can turn around and bite even those who think they know something about prudent investing.
And this drubbing from derivatives is sure to continue."The gunslingers may be lying low,but they haven't hung up their guns,"declares Representative Ed Markey of Massachusetts.
As chairman of a House subcommittee that oversees financial institutions,Markey has put forward a bill that would increase federal supervision of the largely unregulated derivatives dealers.
James Midanek,a financial expert whose firm Solon Asset Management helps victims of derivatives to minimize their losses,also sees more trouble ahead.
Solon Asset Management公司帮助受害者缩小损失，该公司的财务专家James Midanek预测会有更多问题出现。
"It's going to hit home a little more,"he says.
"We are going to hear more from local municipalities and colleges,and other less sophisticated investors who remain unaware of their exposure."
4.Here is the astonishing range of investors who find themselves in that category:
-Huge companies have taken big beatings.
Procter & Gamble lost $157 million playing the derivatives market this year
and ousted its corporate treasurer.
British pharmaceutical giant Glaxo Holdings lost $115 million.
Gibson Greetings in Cincinnati,Ohio,lost more than $20 million
and last month sued Bankers Trust,which had sold the derivatives to the card company.
5.-Municipalities,colleges and even and Indian tribe suffered.
Maple Grove,a Minneapolis suburb,
has seen its $5 million investment in the Piper Jaffray fund shrink to about $3.6 million this year.
"A number of people had had terrific experience with it,"says Jon Elam,the city administrator of Maple Grove.
Maple Grove的市Jon Elam说：“不少人曾在其中尝到甜头。
"It was unbelievable to me when I found out what the fund was made up of.
It was then that I realized it was basically a hedge fund,betting on the decline of interest rates.
That's the reason it did so marvelously in the early '90s."
6.-In Texas the former vice president for finance of tiny Odessa College poured virtually all the school's funds into derivatives.
The staff and faculty of the two-year college watched in horror as the $22 million in investments lost nearly half their value,
forcing the public school to borrow $10.5 million in emergency funds,raise tuition and jack up local property taxes.
Meanwhile,the Shoshone Indians,a tribe of 3,000 in western Wyoming with a 70% rate of unemployment,
purchased nearly $5 million of derivatives last year from a traveling financial salesman;
the value of the purchases has since shriveled to about $3.5 million.
7.-Mutual funds have been a particularly fertile ground for unexpected casualties because investors often don't know the full content of the portfolios into which they are buying.
Funds run by such firms as Paine Webber,Kidder Peabody and Bank American
像Paine Webber,Kidder Peabody与Bank American这些机构所经营的基金，
have put up more than $500 million this year to bail out investments in derivatives.
Just last week Arthur Levitt,chairman of the Securities and Exchange Commission,told Congress
就在上周，证券与交易委员会主管Arthur Levitt才告诉国会说丹佛市的Community Asset Management Inc.
that an $83 million fund run by Community Asset Management Inc. of Denver had become the first money-market fund to shut down because of derivatives losses.
The fund's 113 customers,
consisting of banks and other institutions,will collect 94 cents for every dollar they invested.
8.-Even the Wall Street firms that concoct these securities have taken a whipping.
Bankers Trust,which relies heavily on derivatives for its profits,
saw its earnings drop 28% to $181 million in the second quarter as clients stopped buying the risky instruments.
The decline was particularly sharp in the division of the bank that uses computerized programs run by math whizzes-who are known as "quants"-to create the derviatives.
Its earnings have fallen more than 50% since this year's first quarter.
9.Derivatives are causing all this havoc because they have swiftly become a linchpin of global commerce and the world's financial system.
Companies regularly use a form of derivatives called swaps to protect against the risk of sudden changes in exchange rates,commodities prices or other costs when they trade overseas or build plants abroad.
Like all derivatives,they function,essentially,as bets on the direction of particular markets.
So coveted is such insurance that the total face amount-or "notional value"-
of swaps and similar contracts has soared to an astronomical $11 trillion,up from $5.1 trillion since 1990.
10.While derivatives can take on many forms,they all share certain similarities.
No matter how complex a derivative may be,
it is at bottom a security that takes-or derives-its value from underlying things that can range from the familiar(stocks or bonds or interest rates)to the exotic(gold in Ghana or copper in Mexico).
Moreover,those underlying things can be sliced and diced in all kinds of ways.
Among the most popular derivatives in mutual-fund portfolios are the so-called interest-only strips,
which pay interest that comes from pools of government-backed mortgages.
These strips became hot when interest rates fell below the level they were paying.
But is interest rates rose higher,these securities became less attractive and plunged in value.
A rare stillness suffused Saturday morning in Sarajevo.
With the guns silent for a moment,parents gathered up their hungry children and headed for the market
to barter for what meager supplies of food and clothing had made it through Serbian lines.
country of origin
Most Americans think of the Swatch as a trendy timepiece
that was embraced from K Mart Shoppers to the owners of SOHO galleries.
But in its country of origin,Switzerland,the Swatch represents nothing less than an amazing instrument of industrial rejuvenation.
The turning point for the U.S.semiconductor industry may have been in 1985,
when American companies filed an antidumping petition against Japanese chipmakers.
The Japanese were selling 256-kilobit memory chips at $2 each,for example,even though they cost an estimated $3 or more to produce.
The report pointed out violations of fair trade by each area in 10 separate categories,
such as quotas,anti-dumping measures and government procurement.
Though provincial governments have been given more freedom,
they haven't passed it on to entrepreneurs.
Foreign investors are welcome,but corruption devours profits.
Even longtime investors complain that the rules seem to keep shifting.
Ho Chi Minh City's Export Processing Zone Authority lured foreign companies on the basis of preferred taxfree status and then announced an 8% business tax.
Court papers describe a scheme in which California's Teledyne Industries paid Parkin and Lackner
to obtain confidential information about government procurement plans for a system to identify military aircraft.
When equipment has not been delivered,because of the glacial government procurement process.
Reno has personally borrowed gear from the Pentagon.
Unlike rare jewels,chips have had the advantage of being untraceable,
so they can be quickly unloaded on gray and black markets.
The U.S.International Trade Commission,the federal agency that deals with unfair trade complaints by American companies,
is handling a record number of cases(38 last year).
Despite lapses into protectionism,the U.S. has generally been both a promoter and a beneficiary of free trade.
It grants 159 of the 170 countries on earth most-favored-nation status,or MFN,subjecting their products to roughly the same relatively low import duties.
The latest version of the General Agreement on Tariffs and Trade will wholly or partly eliminate national tariffs,subsidies,quotas and other forms of protectionism for dozens of industries.
The overriding U.S. national interest is an open world in which Amierca can thrive.
(That is why protectionism and the anti-NAFTA campaign,merely other forms of isolationism,are so dangerous.)
President Clinton revived a tough provision of U.S.trade law in an attempt
to get Japan to trim its $59 billion trade surplus.
The measure,the so-called Super 301,creates a "hit list" of countries deemed to be unfair traders
and threatens punitive tariffs up to 100%.
Encouraged by frustrated U.S. trade groups and corporations,
legislators had Japan in mind when they passed the provision-dubbed Super 301-as part of last year's trade bill.
The Administration wants to fight for the U.S. computerchip industry,
but it does not want trade friction to topple Japan's fragile reform coalition government.
TOYOTA calls that charge "groundless and meaningless."
but spokesman Yoshihara Tateishi says,
"We are fully aware of the trade friction,
and our approach will be modest and prudent."
Racing against a U.S.-imposed deadline,
Japanese negotiators and U.S. Trade Representative Mickey Kantor produced the first major market-opening agreement between the two countries since talks began in July 1993.
Take That!And That!
1.If posturing and tough talk were all it took to remedy the U.S.-Japan trade gap,
everything would be fine by now.
The grumpy Fed.11 encounter in Washington between Bill Clinton and Japanese Prime Minister Morihiro Hosokawa has produced a surplus of bluster.
"We will not modify our position," Hosokawa warned afterward.
"It's just not acceptable for the United States to continue on the same path,"Clinton warned back last week.
But as both sides grumbled,they tried to keep the brinkmanship within bounds.
"The intent and fact are to be measured and calm about this,"insisted a White House official,even as others waved fists at Japan.
2.Scarcely had Hosokawa settled back in Tokyo than the White House struck.
It announced that Japan had failed to comply with previous trade agreements
by denying Motorola fair access to Japan's cellular-phone market.
"This is a clear-cut and serious case of a failure by Japan to live up to its commitments,"said U.S. Trade Representative Mickey Kantor.
He promised that within a month his office would publish a list of Japanese companies that would be punished-probably through tariffs-if the situation is not remedied.
One day later,Washington's case was bolstered
by new Commerce Department figures showing that the trade deficit with Japan rose nearly 24% last year,
to a record $59.3 billion.
3.The Japanese made their own threat to fight any sanctions
by accusing the U.S. of a "betrayal of trust" in multinational negotiations to reduce tariffs.
But even as the Japanese were applauding Hosokawa's refusal to cave in to Clinton,
his government was calculating how to avoid a fight.
Early in the week Tokyo was unnerved when the yen rose about 6% against the dollar while Washington stood by with arms folded.
The upward pressure came from speculators counting on the U.S. to encourage a stronger yen to make American products cheaper in Japan.
Because that would also cut into the profits of beleaguered Japanese companies that sell abroad,
a 5% drop in the Japanese stock market quickly followed.
4.Tokyo scrambled to propose conciliatory measures
to promote imports,speed deregulation,break down monopolies and open up government purchasing to outsiders-
a standard litany that Washington wasn't buying.
And the Japanese gave no sign of willingness to compromise
on the core U.S. demand that their progress in opening markets should be measured by "objective criteria"-in effect,guaranteeing that competitive products get a share of the market.
5.The cellular-phone problem illustrates how even the most competitive American products-
Motorola claims 40% of the global cellular market-can be tripped up in Japan.
In 1987,when it privatized the national phone company,
Nippon Telegraph & Telephone,Japan's government divided the country into two cellular-phone regions,with NTT operating in both and one fully private competitor in each.
Though it has flourished elsewhere in Japan,
Motorola maintains that it has been handicapped in the Tokyo-Nagoya corridor,the more profitable of the two areas,
where its phones are incompatible with the NTT transmitting system.
6.As part of an agreement to give Motorola "comparable market access"-reached in 1989 after Washington threatened reprisals-
the Japanese government provided the company a slice of the cellular-phone bandwidth in the Tokyo-Nagoya region.
There was a catch:Motorola's new transmitting equipment would have to be installed by IDO,the wholly private cellular operator in that area.
Called upon to build facilities for a competitor,IDO dragged its feet.
In 1992,at Motorola's request,Washington sought and gained a follow-up agreement to speed construction.
7.Last summer Motorola again protested the slow pace,leading the White House back to bargaining with Japan.
The U.S.wants guarantees that the new system will be up two years earlier than IDO's projected completion date in March 1997.
In the view of IDO president Takeo Tsukada,that would lead his still unprofitable company to "certain bankruptcy."
Motorola says anything less would keep it out of the cellular boom expected to start in April,
when new regulations permit Japanese consumers to own phones instead of just renting them.Tokyo,meanwhile,insists that the remaining tangles are just a business dispute between private companies.
"Washington is asking us to guarantee Motorola's business,"complains a Japanese official.
8.Cellular phones are just one of 31 areas covered by trade agreements at the U.S. could use as gauges of Japanese intransigence and then retaliate.
"It's not our desire to be provocative,"says a White House official.
"But the status quo cannot continue."
Neither can the present standoff,without the danger of a more serious confrontation that nobody wants.
Now,does anybody here know how to just dabble in a trade war?