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Strategies & Market Trends : The Epic American Credit and Bond Bubble Laboratory -- Ignore unavailable to you. Want to Upgrade?


To: Kailash who wrote (21067)10/30/2004 11:06:03 PM
From: Carlos Blanco  Respond to of 110194
 
What we have, then, is a classic race to the bottom in the dollar zone, and it's very hard to see how to stop it. What can Japan do? Suggestions?

i've been to japan and love many things about japanese culture, but i gotta admit that their economic policies seem kinda ostrich-like. even if they do benefit me directly as a US-based consumer who enjoys buying cheap high-quality electronics.

it seems to me that they need to work with other asian nations to grow their internal markets and inter-country trade, thus hopefully accelerating the process of weaning themselves from their USA dependency before it becomes too bizarre. i seem to remember seeing a statistic that if present trends continue, at some not-too-distant future japan's forex intervention amount would exceed their total export revenues. which begs the question of why not just cut the US out of the loop and give their exporters the money directly.