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Strategies & Market Trends : The Epic American Credit and Bond Bubble Laboratory -- Ignore unavailable to you. Want to Upgrade?

To: SuperChief who wrote (105194)	9/17/2009 6:44:54 PM
From: Gib Bogle	Read Replies (2) \| Respond to of 110194

Unless protectionist barriers are erected, the jobs will come back only when the wage disparity between Chinese and US workers is significantly reduced, and I think that will happen by Chinese wages rising and US wages falling. Barriers to trade will push prices up, so in terms of buying power the overall effect on living standard might not be as hoped. BTW, I think it's much more than a question of 0.99 store vs. 1.99 store. Already the Chinese-made whiteware is very competitive, and I will not be surprised to see Chinese-made cars on the world market within 10 years. There is no escaping the fact that US consumption levels have been unsustainably high for some time. In the last decade or so the consumption has been propped up by debt - and by the low level of the yuan. I haven't seen claims that Chinese exports are being dumped at less than cost - do you have some references?