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Strategies & Market Trends : New US Economy Policy -- Ignore unavailable to you. Want to Upgrade?

To: Arthur Tang who wrote (227)	6/1/2000 9:29:00 AM
From: Arthur Tang	Read Replies (1) \| Respond to of 435

What FEDs' hope to do is not scientific? FEDs hoped to increase interest rates foolishly to make money more expensive; thereby slow down the economy. The new economy is based on higher standard of living supported by good job with good pay. It is based on good profits on good business efficiencies. Good efficiencies is based on good skills which deserves good pay. Good profits can afford high interest rates; so, FEDs became foolish to fight up hill. Maybe they have to go to 20+% interest rate like what incompetent Paul Volker did to destroy the fragile economy in the 1970s. Paul Volker was only a clerk at the NY FED discount window; who supported Jimmy Carter's bid for presidency. Greenspan was a staff economist at the Chase Manhattan bank, later became the chief economist because David Rockefeller liked him. These people had no insight to the foundation of building economy; they only tried to use interest rates to destroy America. Japanese low interest rates never built Japanese domestic economy either. High interest rates only destroys FEDs' member banks who borrow overnight discount loans. Fortunately, the new economy was and still is built on microeconomy, tightly controlled by profits, efficiency and direction of the technology limit, whatever understood by mankind today. What foolish little men tried to put us in jeopardy. Economy will just bypass their efforts, and purr along. Profits, efficiency and technology direction, rule. Labor shortage will never happen; what with Internet ASPs doing 1000 companies in one site to eliminate all their communications, IT and accounting departments. Production automation is moving towards laborless factories controlled by computers and robotic arms. Marketing by Internet Exchanges eliminate locations and distances. Future needs of manpower are manual labor and convincing salesmen only.