Hi EP, <<don't see this a being good for US China relations>>
Perhaps not, and yet ... because they simply have to live with each other, else nothing matters anymore.
Reversion to the mean is a process that is inevitable, and not to be derailed by intellectual dim-weights such as Rumsfeld and Rice.
<<So how to we make money ?>> am not sure, am am moping around.
<<Maybe China looks other places for hydrocarbons....like PetroKazakstan>> ... the government there already said something about the oil being the nation's, and the listed company is not relevant. As that country does not depend on printing money for a place in the sun, they can say that with alacrity.
<<Maybe the US government tries to increase ties with other Asian nations, possibly with some FDI to follow.>> Done that, been there, Japan being one result, and Taiwan another. And yet, still ..., so trying India now, which I am guessing will not mean much, because of (i) TwoAPuc, and (ii) different specialization and not a direct response, and will probably backfire on both shores.
That is the usual way matters work out in the geopolitical world, and so a safe bet.
<<Phillipines would be most sensitve to this, especially since they are tanking because of election issues. Indonesia, Thailand, Malaysia, etc. might benefit also.>> ... been there, done that, none entities to the one ... because it cannot be. As allies for containment, they didn't make a difference in Korea and mattered not at all in Vietnam.
Containment costs money, and if money can be printed at no cost, as some CBs claim, then I guess the Asian financial crisis was not a cost, which by the way traceably resulted in the current housing bubble, and so on ...
But if it is the value of the printed money and the system that promugated it is in question, then costs starts to matter.
If the response is simple, it would have been done already and worked, and yet ... simply because the 300 year accident is over and done with.
That is my read ... in line with teotwawki thesis.
Chugs, J |
