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Strategies & Market Trends : 2026 TeoTwawKi ... 2032 Darkest Interregnum -- Ignore unavailable to you. Want to Upgrade?

To: KyrosL who wrote (20592)	7/29/2007 12:23:44 PM
From: carranza2	Read Replies (2) \| Respond to of 220205

after all is counted, China runs huge surpluses and the US huge deficits. Agree but I think the accounting does not take into effect the multiplier efect of Smiley's larger profits. As I appreciate it, the trade surplus is simply a cash in/cash out calculation. When the effect of the Smiley profits are spread throughout the US economy, and their multiplier effect taken into consideration, the trade surplus does not look like such a horrible thing. In fact, Smiley really skews the generally accepted notion that all trade deficits are bad. I don't know where all this lands in concrete economic figures, this is after all a 'content free' zone, vbg, but it seems intuitively that having someone manufacture a widget for you, pay him a small part of the price, then reap huge profits selling the widget, is a heck of a good deal for the seller. I am looking for data, but it is arcane stuff. I will post it if I find it.