And what about low technology good such as clothes, furniture, steel, glass, toys, and widgets? Where does the money flow there?
A cotton T-Shirt costs perhaps $1 to produce in China, and ship to the US. US companies buy them for that price, and then sell them to you for much, MUCH more. Just about every other product is in the same situation.
That is the big problem with the global economy. The loss of jobs was supposed to be offset by much cheaper goods, but instead of going to individuals, the difference has instead gone to corporate profits by the brand names, and retailers. Wal-mart in particular is fond of advertising their big $1.14 discounts on an otherwise $15 pack of socks, which actually costs them $2.
The web is a good opportunity to turn this around... Do a quick search, and find the cheapest supplier among many thousands of stores, and you're likely to find one selling with small margins, and without the brand name and retail mark-up.
More recently, I've found that traditional mail-order companies are also dramatically pushing down prices, but the difficulty is that you already had to have some way to know about them in the first place, which most people do not, and advertisers target consumers of the most profitable items, not the cheap stuff.
Eventually, retail will have to drop their prices to match, but it looks like a very long, very slow road before we get there.