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Strategies & Market Trends : Booms, Busts, and Recoveries

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To: Ilaine who wrote (9921)9/20/2001 10:37:04 AM
From: smolejv@gmx.net   of 74559
 
>>We know where the cash flow went<< - it stopped flowing. There's no customers (!) No consumption in the form of business flights etc. That hurts the airliners. And because the customer does not spend, bingo, its also GDP that gets depressed.

Re GM factory in Brasil - either it is Brasil (imports) or its US (a plain vanilla domestic flight;) And eventually its J6P who buys the final product - doing the ever important job of consuming.

If the goods are exported, however, no consumption, but the account balance gets a little push back towards the neutral middle.

dj
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