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

To: 2MAR$ who wrote (76454)	7/17/2011 4:00:25 AM
From: elmatador	1 Recommendation Respond to of 218621

World being destabilized by the move to cities. That is the root cause. Modern societies cannot analyze the situation of emerging markets today because they cannot relate. It happened too long ago in their countries. Once Cold War ended, 2.5 billion people -previoulsy at the margin- engaged in the economy. This huge mass of mainly rural people started consuming. In the past -using Europe as an example- this forced countries to go seeking colonies to get materials to supply the growing growing economies powered by their people moving from rural to city. The mass urbanization going on today, forces China to go abroad and seek materials and food for its population. The big pull of moving from rural to city causes in the world economy, is not recognized today even though it happened to Europe, US and Japan. Because it happened too long ago. Foreign companies try to sell to Chinese and fail. economist.com They don't know that the model that works today at home does not work in China because firms in the US sells for a post urbanized society. In emerging markets would be selling to new urbanites. US used Sears catalogue sales to reach their rural and newly urban consumer. You can go and expect home Depot or Ikea to succeed in China. Newly urban, buy different products, buy different politicians, spouse different set of ideas, read different stuff through which their public opinion is shaped. To believe, as some people do, that China will crash is akin to say: Chinese newly urban will pack off and return to the farms. It will not happen. For the economy is not powered by the state. It is powered by move from rural to city. The governments - all over the world- only profit from that situation. Only newly urban - just fresh from the countryside America- would allow McCarthyism and black people lack of civil liberties. Note what happened once America urban were firmly established. They did not accept the politicians they previously had. The revolution of the 60s happened because urban were firmly established and they renegate the values they previously had.