To: shades who wrote (46946 ) 1/14/2006 12:51:44 PM From: gpowell Read Replies (1) | Respond to Shades said: Those slant guys are really smart - all the cool gadgets are made in asia eh? how did they pump hundreds of millions of dollars into that development and then no one moved into it - the demand was there right? how did things get so misallocated? did socialism come in and fix the misallocations of capitalism? In US, at least, 2006 is likely to be another year in which stagnant real wages freeze, or even erode, the living standards of those in the middle. upward bias in the CPI measurement and realize that real wages have risen nearly every year in the US. How can American’s net worth be climbing if real wages are stagnant? Ah, maybe rising foreign investment pushing asset prices higher? Roach’s so called asset economy? Too bad net worth is still showing little to no deviation from past growth even when excluding housing and corporate equities. The main risk in 2006 is that America’s long-brewing problems come to a head globally: investors, finally taking heed of the large structural fiscal deficit, the yawning trade gap, and the high level of household indebtedness, may pull money out of the US in a panic. And, everywhere, it is likely to be another year in which the gap between the haves and the have-nots will widen.
