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Strategies & Market Trends : Systems, Strategies and Resources for Trading Futures

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To: Tom Trader who wrote (37123)10/18/1999 8:43:00 PM
From: Chip McVickar  Read Replies (1) of 44573
 
Tom,

In answer to your post. There are numerous factors that have underpinned the economic spurt and market growth since 1982 and particularly from 1988, internally and externally.... We are already aware of these conditions! By the very fact that the baby boomers will continue to work and produce and invest, demands that these markets will continue to have money. Coupled with this the largest transfer of personal capital in the worlds history is taking place as boomers parents pass along their generational life savings. Nothing short of a "major sea change" in economic vitality will alter these facts.

But I believe there is a nascent change taking place and will carry forward over the next 10 years. The economic industrial and service economy lives on growth. It requires growth and that requires new markets to maintain demand for services. This means the developing world must be brought along to provide the new buyers. To fail this new requirement of growth is to end the capitalistic world as we have come to know it. The throwaway culture.

Anyway, this favors large international companies with connections to natural resources and the ability to market world wide. Developing companies will require the basic materials to manufacture and enter the modern industrial world and this will increase prices and inflation will be directly behind this demand. The computer driven productivity in this country has just about run its course and here too wage inflation will begin to become apparent.

My Best,

Chip
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