>>Just what are the French doing with their 15.8%, anyway? << Well, in first approximation (big enough), they're doing nothing, I mean, they're taking this capital out of consumer flow. OTOH that's this wealth ends up in the food chain of capital expenditures, via saving instruments of banks.
3.1%?! Things must have improved drastically in the last lets say six months, because the last time I remember clearly the numbers, they were talking negative household savings rate. And with the consumer confidence barely scratched, I dont think J6P changed his attitude. In the continuity equation of macro economy, that goes something like
GDP = savings + government deficit + current account
it must then be govern pump and/or foreign investor who will foot the bill. Which is what's been happening in US as far as I know.
Re: >>During the dot com mania, the US venture capital community couldn't throw their investors' money away fast enough. Even now, the biggest problem faced by US venture capitalists is not raising their next fund, it's finding enough good ideas <<
A joke from my socialist/communist days in YU:
Some big cheese has a weekend house and a farmer neighbour, Jovo. They meet now and again and this time, it's evident the farmer has a problem.
"Hey, Jovo, What the problem, you look concerned"
"My cow is sick!"
"No problem, here's what you do. Let her stand with front feet in cold water".
"?... well I'll try..."
...break and next weekend:
"Hey, Jovo, Nice to see you. How's the cow?"
"Well, must say, she's not doing well. She kneels on her front legs"
"Well, looks like she needs stage 2 treatment. Put her hind legs in cold water too"
"???...."
...break and next weekend:
"Jovo, nice to see you again. So, cow's fine, I guess?"
"No. She's dead".
"Damn... sad, I cant try some more good ideas I had about her". |
