Using cause-and-effect logic and identifying the underlying assumptions, Goldratt examines the causes of the global economic recession by using an example of a chip manufacturer and data collected across the electronic products supply chain to show that the reduction in demand for electronic chips was a mirage that resulted in massive layoffs across the supply chain and throughout the economy. Lessons learned: 1. Use global view. Your company is a local view. The supply chain is the global view. 2. Use cause-and-effect logic to understand what is really happening.