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Gold/Mining/Energy : Big Dog's Boom Boom Room -- Ignore unavailable to you. Want to Upgrade?

To: michaelrunge who wrote (42330)	4/21/2005 10:10:59 AM
From: kodiak_bull	Respond to of 206175

Mike, "In an automobile accident, the injuries don't occur when the car comes to a stop. It happens when the car's speed and direction begin to change" The "export your way to wealth" crowd (Japan, and Korea, now China) by subsidizing exports to "rich" countries have beggared their own citizens and failed to create a full domestic market. Japan is the most egregious example of this where all but the top executives live in 800-900 square foot chicken coop apartments (or worse) with the wife and 2 kids and 3 bicycles. Japan is known as the country with rich corporations and poor citizens. Because of the way this works, they are locked into a system of promoting exports, restricting imports and hoping to keep down domestic demand (except to the extent that it supports export industries, e.g. see Japan and their "shaken" law concerning vehicles, see Korea generally as a place with low density of highways, roads or even parking spaces but high density of Kias and Hyundais). Someone mentioned heroin and junkies. I think a case can be made that the real junkies are the mercantilist exporters. Now they can't sell the treasuries (our fiat money) because that would cut their value even more than the exchange rate changes are doing, and they can't stop manufacturing and exporting to us (and taking in dollars) because we are the main market and the ticket to keeping their industries running. Also, they can't raise prices to earn more $$$ for their goods, because of world wide over capacity in all manufacturing. So they (especially China) have to keep pumping out the goods in an increasingly competitive market (lower prices) just to stay in one place. Finally, nobody likes a good analogy better than I, but as per your car wreck one, it's a bit of an car wreck itself. Let's put it into mortgage-backed securities form where you can divvy up the security into "principal only" "interest only" and many other ways. Let's ride in a car, Mike, and I will gladly keep all the injuries both you and I incur as the car's "speed and direction change", as long as you agree to keep all the injuries both you and I incur when and after the car "comes to a stop" courtesy of that 100 year old Douglas Fir. Kb