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April 03, 2006
Chinese Economy Matures, Driving Up Labor Costs And Outsourcing To Vietnam
The New Editor links an interesting NYT piece about the Wealth Effect hitting China. As more enter the middle classes and factory workers demand higher wages, foreign factory operations are considering pulling up sticks and moving to still-cheaper labor markets, like Vietnam.
The China trade deficit may yet be solved, not through regulation, but through free trade itself.