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

To: KyrosL who wrote (21567)	8/24/2007 12:38:47 AM
From: elmatador	Respond to of 219197

"Bagholders, everywhere?" Globalization! This is the first globalized crisis. The easy moolah is not confined in the US borders, but spilt over repackaged elsewhere. Not only that bit is related to globalization. Some are claiming a bulk of the money went to housing of undocumented (undocs) immigrants. Undocs means illegals. What called my attention the first time to the connection undocs and property, was one city in Texas, forbidding people to live there. I men not cleaning the houses, not tending the gardens or such jobs that undocs are known for. But actually buying property. Wait a moment, Elmat thinking here in Tehran. How comes an undoc can go there find a job and then go live in such neighborhood? Went to Google earth and found a little bit southwest of Dallas-Fort Worth airport. Found a neat recently urbanized community. What I concluded was: Gonzales or Alfredo, a Mexican and a Brazilian, read an add. Sharp undocs themselves, they applied to sell mortgages to undocs. They spoke the language, knew the culture and made thousands of dollars. Not that they moved in the area where undocs were banned, they sold actually houses in that area to newly arrived undocs!!! Thus prompting the Anglos living there to go up in arms, with barbecues that entered into the night at the sound of 'Malaguena Salerosa'!!! And a bunch of kids braking windows while playing football in the streets. Those undocs earning money tax free were prime targets for sub prime! We can now, possibly hear the sucking sound of people climbing that wall in the Mexican border running away from their debts incurred.

To: KyrosL who wrote (21567)	8/24/2007 2:01:32 AM
From: elmatador	Read Replies (2) \| Respond to of 219197

How injections of capital preempts TJ’s collapse. Take the 200 billion dollars capital injection in the global economy via remittances. It cannot disappear from one day to another. You need to see waht it does: The guy in Macedonia supports his older parents. They keep house in good conditions to pass to son working in Germany when they die. They improve quality of live, because the guy bought, new refrigerator, TV and is injecting that part into the Macedonian economy paying medical bills and drugs for the elderly that is part of the local economy too. The same applies for the money that goes to LATAM. That money creates a snowball effect and it helps the LATAM economy as a whole. It can be said that the national US economy, say 10 year hence, will be worse off due to this remittance effect but -in a global economy perspective- that is compensated by the economic growth elsewhere in LATAM. This injection of capital will result in a decoupling. That is, the economies of the periphery grow while the adverse effects are felt on the European and US economies. What an individual American to do? He chooses a proxy for that economic growth and uses it to cash in on that growth as Seeker of the Truth is doing with ITU in Brazil.