Profi,
We share the same profession. As for me being an expert - well, that couldn't be further than the truth. I am a student of economics only and state my opinions too stongly most of the time. For that, I apologize to all.
I found your comments concerning technolgy and the US being leaders interesting and I share the same opinions on that. I find it interesting that we, unknowingly perhaps, are on the brink of another "industrial revolution" as we move away from an industry based society to one of information and technology. Like those Americans displaced from an agricultural based economy to one of industry 100 years or so ago, I doubt that any of us (non economists anyway) realize what is happening. These are interesting times we live in. From this perspective, we most definately could be in "new" times.
I also agree, that being capitalists, we are by definition expanding our markets globally. Marx wrote about this I believe - that a capatalistic society must always be in search of new markets least it falls apart. I believe that. And I think you are right that those companies that are globally oriented (WMT) are going to be winners in the future. That is one of the things I like about WMT the most - their willingness to expand beyond the US.
Also, being a middle aged boomer (45), I am also concerned about my retirement. This is somewhat of a new phenomenon in the US I believe. I cannot remember many adults of my childhood worring about saving as our generation is (on the whole). I just wonder sometimes if the government will 'allow' all of us millionaires. What I mean is, if everyone has 1 million dollars is it still a lot of money? Take Germany in the 20's. People wheeling around wheelbarrows full of cash - and couldn't buy a loaf of bread with it - hyper- inflation. I remember a family story, that one of my relatives had bought an anuity early in the 1900's (in Germany). The amount of the anuity was 25,000.00 - a significant sum at that time. When the annuity matured, Germany was in a period of hyper inflation - as the story goes 25,000.00 marks wasn't enough to buy a gallon of milk. I'm sure the story was exagerated somewhat, but it serves to illustrate what can happen. Does any of this worry you or others? I can't believe that 1 million or even 10 million will be alot of money in 20 years if everyone has that much saved. Maybe we savers/investors will be the suckers? During periods of hyper inflation - people who own hard assest (ie real estate, gold, silver etc) are the ones who profit. Even the debtor is rewarded over the saver during periods of inflation or hyper inflation. Maybe I worry too much. Something to think about anyway.
Best of Luck!
Gary |
