Start from 1980

Chapter 1021 Confused
"The reason why I put forward the concept of new economy is because I think the American economy can be divided into three parts, namely the traditional economy, the knowledge economy and the new economy.

Traditional economy refers to manufacturing, knowledge economy refers to education, culture, scientific and technological research and development and other industries, and new economy refers to emerging industries with network, information and communication technology as the main body. "

Su Chen talked about his new concept on the podium.

Both Mankiw and Eyler sat down with the students to listen to his class.

"In the new economy, I think these technological innovations include computers with rapidly falling prices and rapidly increasing capabilities, cellular telephones, the Internet, a large number of new products and services, innovations in financial markets, and new payment methods.

And many, many products and services based on these technologies at lower prices, improved quality, and increased efficiency.

Therefore, the new economy is actually a change in the real economy. It is not only manifested in changes in the structure and quality of social products.

It also shows that the economic operation mode, social distribution mode, social operation mode, social production process and industrial organization have undergone tremendous changes, so the new economy is a new economic form. "

Mankiw raised his hand suddenly.

"Professor Su Chen, will the new economy rewrite the rules of productivity and business cycles?"

Su Chen replied: "Whether the new economy will really rewrite the development process of human society like the industrial revolution that took place in the British Isles more than 200 years ago, and make human beings enter a new economic and social form? It's worth looking further.

Even with the emergence of a new economy characterized by information and communication technologies and their proliferation, the mechanisms of the old economy still play a central role in the process of economic growth.

The accumulation of all kinds of capital, including physical and especially human capital accumulation, research and development, is very important for the economic growth of all countries.

In the same way, if the United States wants to maintain sustained and rapid economic growth in the 90s, it must have the following three elements, one is a comprehensive macroeconomic policy; the other is a market economy with free competition; the third is active technological innovation by enterprises. "

As soon as he finished speaking, Mankiw asked again: "According to what you said, does it mean that the next economic growth of the United States will be mainly based on the rapid growth of high-tech industries such as information and communication and the decline in prices?"

"Yes, despite the rapid expansion of the US economy and the declining unemployment rate, it is impossible to maintain the prosperity brought by the new economy for a long time if economic policies are used. The new economy will follow its own laws and will be like the traditional economy. towards excess."

Su Chen continued: "I believe that the U.S. economy will undergo fundamental changes next. In the rapid economic growth, the new economic sector represented by the ICT industry will be one of the main sources of growth.

This is closely related to the technological innovations that have been going on for decades and only began to bear fruit in the next few years. Most importantly, computer and communication technology is a technology that is rooted in the United States.

The leading position in the field of computer and communication product research and development enables the United States to export technology and services to the world and obtain profits from "technology rent and product export".

Although the market will gradually become saturated with the increasing popularity of high-tech products represented by computers and communications, the growth rate of these industries will slow down, and the growth of the US economy will also slow down.

However, since the United States still has an obvious leading edge in the field of information technology, it will be difficult for other countries to catch up in a short period of time. Therefore, its high economic growth rate will not decline sharply, but will have a soft landing.

In other words, although the high growth of the US economy can still continue for a period of time, until the diffusion of this technological revolution reaches "equilibrium".

When most of the information and communication industry and the Internet economy start to become surplus in the United States, this surplus will spread to other countries. At this time, the U.S. economy has eliminated cyclical fluctuations, and the myth that it can continue to grow at a high speed will be broken.

However, even if the total economic growth of the United States may slow down, its world dominance in the ICT industry cannot be replaced by other countries in a short period of time, and its new economic sector still has a lot of room for further development.

At the same time, other developed countries will also strive to catch up with the United States in the field of new economy, and the global new economy will maintain a relatively fast development speed in the coming period..."

He spent a long time talking about the content of the new economy in this class. In the new economy he conceived, it is represented by high-tech industries such as information and communication.

And this is exactly the era that the United States will enter next.

Such as Netscape, Yahoo, Amazon, Google and other famous big companies.

All developed in the next period of time.

At first, only Mankiw was asking him questions, and then even Professor Ayler started asking him questions.

"Su, is the new economy you are talking about caused by the policies of the US government, or is it due to other objective factors."

"Of course, this is not a result of policy, but the result of the long-term accumulation of technological innovation based on basic research in the United States in the past."

Su Chen explained, "Comparing Japan, since the 5s, Japan's development speed has been much higher than that of the United States, and the technological and economic gaps with the United States have been continuously narrowed, and even surpassed the United States in many fields.

However, Japan's international competitiveness is far smaller than that of the United States. At the same time, the United States has always encouraged competition and the commercialization of new technologies. Through market competition, it stimulates the innovation of enterprises, which leads to the emergence of a new economy. "

……

After his class was over, everyone was still thinking about the new concept he proposed.

Both Mankiw and Professor Eyler caught up with him.

"Man, your new concept is very interesting, and combined with what the United States has studied in the past, it really fits the topic you mentioned."

"It seems that I should buy technology stocks next, I believe that will make me a lot of money." Professor Eller said with a smile, "Your lectures are very exciting, and you have a lot of novel ideas every time. .”

Mankun nodded: "I think so too. I feel that his research direction has far surpassed ours, and he is in a mysterious and mysterious realm."

"It seems that I have already walked ahead of you." Su Chen said with a smile, "But whether the new economy is as I said, we still need to observe."

"Come on, let's have a cup of coffee first." Professor Eller said, "Do you still need another class?"

"I think my class is over. After all, I'm just a visiting professor. According to normal logic, I only need to attend one class a year." Su Chen said, "And my class is not a compulsory course, so It can't take up your time."

"I said at the time that you shouldn't be allowed to go back to China." Professor Eller sighed, "It's fine if you leave, and you also take Avril Lavigne's heart with you. You are simply an annoying guy."

After drinking coffee, Mankiw and Professor Eiler still had things to do, and Su Chen didn't want to disturb them. They agreed to have dinner together tonight and left.

But Su Chen who left did not expect that he would become angry again.

Because of this 'new economy' class, it became popular.

Countless students discuss with each other.

"Have you heard? The oriental wizard proposed the concept of a new economy. He believes that the next economy will be represented by high-tech industries such as information and communication, so I think we can invest in technology stocks."

"New economy? What is that? Tell me about it."

"It's a very mysterious thing. I feel that this is a reminder for me to buy technology stocks."

"..."

Although some people don't understand it, after hearing that it was proposed by the Eastern Wizard, they all expressed their intention to invest in technology stocks.

Accompanied by his girlfriend, Su Chen, who was heading to MIT, didn't know about it.

He asked Miranda: "If I want to set up a private research institute at MIT, will there be any problems?"

"What do you want to study?" Miranda asked.

Su Chen was momentarily confused.

Yes, what aspect does he want to study?
(End of this chapter)