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Politics : Formerly About Advanced Micro Devices -- Ignore unavailable to you. Want to Upgrade?

To: TimF who wrote (602696)	3/9/2011 11:48:24 AM
From: tejek	Read Replies (3) \| Respond to of 1574751

U.S. will be the world's third largest economy, Citi says By Patrick Allen, CNBC.com Updated 2/27/2011 The world is going to become richer and richer as developing economies play catch up over the coming years, according to Willem Buiter, chief economist at Citigroup. "We expect strong growth in the world economy until 2050, with average real GDP growth rates of 4.6% per annum until 2030 and 3.8% per annum between 2030 and 2050," Buiter wrote in a market research paper. "As a result, world GDP should rise in real PPP-adjusted terms from $72 trillion in 2010 to $380 trillion dollars in 2050," he wrote. PPP is purchasing-power-parity. As the world watches oil prices rise sharply amid unrest in the Middle East, Buiter's analysis of the world's long-term prospects offer some hope that better times are ahead but if he is right power will shift from the West to the East very quickly. "China should overtake the U.S. to become the largest economy in the world by 2020, then be overtaken by India by 2050," he predicted. One way bet on emerging markets? Growth will not be smooth, according to Buiter. "Expect booms and busts. Occasionally, there will be growth disasters, driven by poor policy, conflicts, or natural disasters. When it comes to that, don't believe that 'this time it's different'." However, there are some easy wins for poor countries with big, young populations, he said. "Developing Asia and Africa will be the fastest growing regions, in our view, driven by population and income per capita growth, followed in terms of growth by the Middle East, Latin America, Central and Eastern Europe, the CIS, and finally the advanced nations of today," he wrote. "For poor countries with large young populations, growing fast should be easy: open up, create some form of market economy, invest in human and physical capital, don't be unlucky and don't blow it. Catch-up and convergence should do the rest," Buiter added. Buiter has constructed a "3G index" to measure economic progress; 3G stands for "Global Growth Generators" and is a weighted average of six growth drivers that the Citigroup economists consider important: 1. A measure of domestic saving/ investment 2. A measure of demographic prospects 3. A measure of health 4. A measure of education 5. A measure of the quality of institutions and policies 6. A measure of trade openness Using that index the nations to watch over the coming years are Bangladesh, China, Egypt, India, Indonesia, Iraq, Mongolia, Nigeria, the Philippines, Sri Lanka and Vietnam. "They are our 3G countries," Buiter said. © 2011 CNBC.com usatoday.com

To: TimF who wrote (602696)	3/9/2011 11:52:09 AM
From: tejek	Read Replies (1) \| Respond to of 1574751

Click on the link below to see how the US compares to 20 other nations. Lower taxes are positive, so I guess we compare positively. It means much less than you think it does. MS, Wyoming, SC etc all have low tax rates and are doing nothing. Let me take that one step further....they are crap states. and the government needs revenue Government needs to reduce spending. Preferably actual reductions, but at least strong reductions in planned increases. Yes, defense. Cut defense drastically. Our defense spending is out of control. Business Insider proposed the intriguing scenario of pegging gas prices at $5 after 2015: Whatever gas would cost on the open market (benchmarked to the price of oil), the tax would make up the difference between that and $5. If the market price for gas went over $5, the tax would disappear. So you want to greatly reduce the signal from higher prices and the adjustments made to that price signal. Not a good idea. Also I suspect that once the market price does go over $5 in any sustained way (which it certainly will, even if its mostly because of the reduction in the value of a dollar over time), that a new higher peg would be set. Listen....if this country doesn't raise its gas tax......if it doesn't have the will to do that simple maneuver in spite of you yahoos yelling lower taxes all the time, we are screwed. EOS.