Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Pastimes : Book Nook -- Ignore unavailable to you. Want to Upgrade?

To: Ilaine who wrote (162)	4/4/2001 12:02:23 AM
From: JF Quinnelly	Read Replies (1) \| Respond to of 443

If you can find a copy of Wilhelm Roepke's Against the Tide you'll find a long chapter called "Transfer Problem in International Capital Movements". It's a lecture he gave in 1930. (He doesn't agree with my claim that hyperinflation was inevitable, but what would a professor of economics know compared to me me me?) Anyway, he describes four basic types of international capital flows and how they operate- He says reparations make a country a "definitive capital exporter, a pure debtor country". In one respect reparations function like any other compulsory debt payment. What made the German reparations a potential problem was their sheer size. France and Britain (or third party trading partners) would have to be willing to accept huge exports of German goods for a long time, which could ignite problems with their own domestic producers. The system could work, but it was rife with potential for trouble. Tariff barriers would be a real problem. Quite a few unintended consequences were likely. It's a long and detailed essay, I probably wouldn't master it after reading it a dozen times.