"Leaderships in the growing countries should realize that: If the economy grows at least a fast as the debt grows, and inflation is low tax receipts shall grow in tandem with the growth of the debt..."
- A very good point, Ike. Its the old tendency to only 'look at one side of the balance sheet'. We are in the middle of the largest period of wealth accumulation ever seen...debts may be rising, but assets are rising faster.
And free trade always benefits both parties in the long run. There are always sectors that get 'hurt' in the process, I live in an area that was severely impacted by a loss of jobs to Mexico with the passage of NAFTA. It hurt in the short run, but both sides are now much better off. Many folks here in El Paso lost jobs in the textiles plants that used to fill many factories, but in the past 20 years they have learned to 'upgrade' their skills (the rate of college degree holders has tripled over that time in our city).
This is a perfect example of the 'creative destruction' of the free markets at work...the production moved to the area of lowest cost, and in the long run both sides benefited.
"Ramanujan died of tuberculoses due to neglect he suffered in his childhood, today many a thousands of such prospects deaths are avoided as these geniuses are picked up by local versions of Goggles and Msft’s..."
- And here you touch upon the greatest of growing assets, just as the 'human element' is not listed on the periodic table these 'human assets' are not listed on any balance sheet. How many potential Nobel winners were condemned by Mao to a life of subsistence agriculture?? The true benefits of the new global middle class will not be seen until those who are now being born into it complete their educations and start to put the greatest collective brain power ever imagined to work.
"The exponential nature of our growth patterns have unfortunately always been neglected by liberal intellectuals."
A big thanks goes to you engineers, who somehow throughout the entirety of this industrial revolution have enabled the growing of assets at a rate higher than that of the government's ability to confiscate them...
And yes, those liberals have not wanted to waste any of their superior intellect on one of the mundane 'skill sets' of the 'profiteering class'... like how to 'read' a balance sheet for example...
Jerry |
