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originally posted by: burdman30ott6
Here's why that's not good. There's a huge difference between money valuation globally and domestically. The QE program creates liquidity, true, but it also devalues the Dollar.
originally posted by: burdman30ott6
originally posted by: beezzer
a reply to: burdman30ott6
We're a "One-World-Government" now, aren't we.
If you like your imaginary sovreignity, you can keep your imaginary sovreignity.
This was pretty predictable. China isn't signatory to the TPP like the rest of Asia. By devaluing the Yuan, they are effectively subverting whatever increase in domestically manufactured exports the US was planning on gaining from the TPP. Most of Asia is tied to both the Yuan and the Dollar and, with the exchange rate rapidly deteriorating, the devalued Yuan will serve as an effective import tariff against the dollar for nations that are faced with inporting US good vs China goods. They also can sell Chinese goods to Asian countries that are signatory for very low prices, and those countries can turn around and sell them at TPP agreed prices to the US, further deteriorating the intended increase in manufacturing within the US while inflating the dollar's value even more.
This is all just further proof that globalism will ultimately be the death blow to the US economy and the only solution is national protectionism.
originally posted by: AnonymousMoose
originally posted by: burdman30ott6
originally posted by: beezzer
a reply to: burdman30ott6
We're a "One-World-Government" now, aren't we.
If you like your imaginary sovreignity, you can keep your imaginary sovreignity.
This was pretty predictable. China isn't signatory to the TPP like the rest of Asia. By devaluing the Yuan, they are effectively subverting whatever increase in domestically manufactured exports the US was planning on gaining from the TPP. Most of Asia is tied to both the Yuan and the Dollar and, with the exchange rate rapidly deteriorating, the devalued Yuan will serve as an effective import tariff against the dollar for nations that are faced with inporting US good vs China goods. They also can sell Chinese goods to Asian countries that are signatory for very low prices, and those countries can turn around and sell them at TPP agreed prices to the US, further deteriorating the intended increase in manufacturing within the US while inflating the dollar's value even more.
This is all just further proof that globalism will ultimately be the death blow to the US economy and the only solution is national protectionism.
just...inset every meme of people clapping their hands you've ever seen...right here...lol srsly though, TPP and global trade destroys our manufacturing. We import our food, oil, and goods...what then do we create, other than technology? In the last presidential elections both sides admitted we are now a service based economy, which pays low wages to over worked peons...btw service industries don't produce anything. How can you have a globally competing GDP if your country no longer produces anything? Eventually we will cease to be.
originally posted by: burdman30ott6
Hmmm...
abcnews.go.com...
..."President Bush said Friday that while the current economic crisis has sent shock waves around the world, he believes steps taken by his administration have "laid the groundwork for a return to economic growth and job creation" early in the administration of President-elect Barack Obama.
"The American economy has consistently proven its strength and resilience" Bush wrote in his final economic report to the nation."...
That was in February of 2008... when the DOW was still in the 12,500 range, Bear Sterns was believed to be just struggling a bit, and Fannie Mae and Freddie Mac hadn't yet started demanding billions of tax dollars just to stay solvent. 9 months later the Dow was 5,000 points lower and losses of 350+ points a day had become "Good days" that October. America was also shedding a half a million jobs a month...
Strength and resilience of the American economy, indeed. I'm guessing that for their next trick, the White House will claim that the economy is "fundamentally strong."
The White House panel noted that "most market forecasts" suggested a recovery beginning in the second half of 2009 "that will gain momentum in 2010 and beyond."
"The first is the root of this crisis is not events happening in the United States.
No. 2, there's in the U.S. way less borrowing involved in this. It's just [an] equity bubble. It's just things moving around with stock prices. And we have seen really over and over throughout the world, if it's just an equity bubble popping it's bad for the people who own those shares that are going down, but the destroying of banks leading to credit crunch and what the economists call systemic events largely don't happen just from equity bubbles. You've gotta have a lot of borrowing for that to happen.
"Then, I'd say the other thing is that the economy has been going modestly well for a long, steady period of time. We haven't been in an environment of a whole lot of volatility on the real side, so hopefully that's a little better than it was in 2008."
Ravaged by a crash in oil prices and almost $90 billion in interventions to rescue the ruble last year, Russia’s reserves were at $358.3 billion on July 24, down almost 30 percent from last year’s peak. The central bank shifted to a free-floating exchange rate ahead of schedule in November as Putin said the country won’t “mindlessly burn up” reserves to defend its currency.
President Bush and Federal Reserve Chairman Ben Bernanke have emphasized to world economic markets that the U.S. economy remains fundamentally resilient and concerns about a slowdown in growth could be ameliorated by a short-term stimulus package.
Bush stressed that the economy has been resilient in responding to problems, an apparent rebuke to those who have predicted that the downturn in housing and financial markets will cause prolonged weakness.
"The genius of our system is that it can absorb such shocks and emerge even stronger," he said.
U.S. economic growth slowed to only 0.6 percent at an annual rate in the fourth quarter of 2007. House prices have been falling, and in January the U.S. job market shrank for the first time in 53 months.
originally posted by: burdman30ott6
a reply to: Indigo5
Does a loss of nearly 4% of our workforce appear to be a "recovery?"
This doesn't even touch on those underemployed since 2007 that count as employed by BLS even though they may only work 10 hours a week.
originally posted by: burdman30ott6
a reply to: Indigo5
The economic downturn *was* in China, but we are so goddamned handcuffed to the various global market by shorsighted politically connected assholes who care more about globalizing their fortunes than nationalizing America that their downturn and their monetary policy can easily sink Wall Street right alongside Beijing.
originally posted by: Indigo5
And yet the Labor Participation rate right now is higher than anytime ever before 1980??
Inflation is an insidious form of money destruction. The Fed would like you to believe that there is only very little inflation going on but I would ask you to look at the costs of higher education, housing, cars, food, and healthcare and ask yourself if inflation is absent. Primarily because of this destruction of purchasing power a single-income household in 1970s was better off than a dual-income household in the 2000s: