Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

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

To: TobagoJack who wrote (68196)	11/15/2010 10:48:20 PM
From: Cogito Ergo Sum	Respond to of 220315

So China will eventually surpass the US per capita GDP... We must hope it does not come from an overly consumer driven GDP calculation :O) That would be a very very big bang...

To: TobagoJack who wrote (68196)	11/16/2010 12:39:05 AM
From: elmatador	Respond to of 220315

"is not just about what happens in china, but has to do with what happens in usa" I tend to agree with that (the Purge happening in the US) but it all depends on how other countries react to Great Unwinding. The Purge means less tax revenue as consumption goes down and deflation strikes. That has an effect on municipalities and states' coffers. Exogenous factors are how major countries will react to the situation as they shift positions to gain advantage or defend their entrenched interests. As I pointed yesterday, many countries (Brazil and China are casesin point) that are fighting to keep the status quo to avoiding taking action internally. Countries always do that. They prefer others solve their new problems so they do not to have to pay the (internal) costs of defending their economies. I will give you an example: when oil prices raise they blame speculators and OPEC to avoid cut fuel taxes at thome. Let's put in jail those speculators for us to keep gorging on fuel taxes. This is the line of thought. Today they are saying: "I want the conomy to be like before so I don't have to take any measure here at home."