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Strategies & Market Trends : Currencies and the Global Capital Markets

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To: Chip McVickar who wrote (2367)1/14/2000 11:27:00 PM
From: rich evans   of 3536
 
Although Greenspan refers to globalization, he doesn't seem to give it credit for the new prosperity along with IT. He talks about American statistics-unemployment, interest rates inflation etc. But for the world there is no labor shortage, and plenty of supply generally and global competition is taking away pricing power generally causing low inflation especially during the Asian Crisis. All the companies are now global with factories everywhere all linked and producing where ever makes the most sense for the customer and doing business mostly in dollars and paying expenses often in Pesos etc so in measuring the economic statistics, one would it seems have to look globally and not just US inflation,growth rates, cap utilization,unemployment and if you do so things don't look so tight IMO. So the Fed should just control the money supply and let the rest take care of itself in a free trade enviroment IMO.
Rich
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