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Strategies & Market Trends : Galapagos Islands -- Ignore unavailable to you. Want to Upgrade?


To: X Y Zebra who wrote (28441)2/23/2003 5:24:19 PM
From: MulhollandDrive  Read Replies (1) | Respond to of 57110
 
>>Now tell me... how is it that you envision US "come back" when you have the fed lowering rates and willing to print more money ? unless there is a drastic change in policies... at the political, military and financial level...

what we are facing Jorj... is not a common thing... there is also the factor of terrorism... this can have incredible UNSEEN costs in regulation, defense and possible destruction of infrastructure and interruptions in processess... I do not know the future... but I have to go with what makes the most sense....<<

imo, the biggest reason the u.s. will have a tough time "coming back" is the aging demographic (the boomer population "bulge")

as people begin entering the end game of their earning years...they instinctively "pull in their horns"...spending wise..

this behavior will only get worse as each year passes and the boomers get closer and closer to actual retirement.

what i foresee is discretionary spending on a continuing downtrend (exacerbated by rising "fixed" costs...fuel, health insurance, property insurance, etc)

even low and zero interest incentives will not change that trend....the fact is that as people age, as they shift from a "acquisition" mentality to a "preservation" mentality.

add to that the fact SS & Medicare is a ticking time bomb .....

and it seems that our gov't has seen immigration as the "cure" for that....

with a declining manufacturing base and now services also being exported....it will take some extremely fancy political footwork to make increased immigration palatable while our unemployed and underemployed continue to flounder.



To: X Y Zebra who wrote (28441)2/23/2003 5:37:07 PM
From: Jorj X Mckie  Read Replies (1) | Respond to of 57110
 
Now tell me... how is it that you envision US "come back" when you have the fed lowering rates and willing to print more money ? unless there is a drastic change in policies... at the political, military and financial level...

A certain amount of the "coming back" would require some serious changes on our part.