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

To: Hawkmoon who wrote (48491)	4/12/2009 1:45:33 AM
From: elmatador	Respond to of 217842

Capital is not a replacement for people. Japan's their strength was its people. No people no Japan. "1 in 4 Japanese will be retired within 5-10 years, they aren't replacing their population, and they aren't particularly receptive to importing new citizens." All that capital will be squandered in stimulus as Japan returns to the insignificance they came from. Not to deny their achievements. They did a gigantic work with the few resources they had.

To: Hawkmoon who wrote (48491)	4/12/2009 2:03:12 AM
From: Snowshoe	Read Replies (1) \| Respond to of 217842

>>Japanese... aren't replacing their population<< That should be easy to solve via targeted stimulus. Start offering Japanese couples an incentive bonus of $1 million USD per child born, and adjust it to maintain the desired population level.

To: Hawkmoon who wrote (48491)	4/12/2009 3:46:08 AM
From: elmatador	Respond to of 217842

The British had a way to deal with crisis. Before 1914, there was a simple mechanism to deal with this problem. (private funding is not readily available for countries in difficulties). London merchant banks were appointed as advisors to emerging markets, stationing skilled staff in the country’s capital to provide advice on government finance, economic development and infrastructure investment. They made their money by arranging the majority of financings for the country; other banks generally did not compete with the in-house advisor for those financings. If a country got in difficulties, financial and economic policies would be structured to get out of those difficulties. In the short term, the local government had little alternative but to accept the advice given, since default would cut the country off from sources of international finance altogether. In the long term, it was possible to switch advisors and get access to a different but equally sound menu of policies. ELMAT: The US raise screwed up that system The system broke down in the 1920s because the newly powerful New York houses disregarded existing advisory relationships, particularly in Latin America, and proceeded to lend indiscriminately, thus creating a credit bubble followed by a collapse. prudentbear.com