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To: Kirk © who wrote (53810)9/21/2011 1:36:25 PM
From: Sam  Respond to of 95587
 
It isn't different. Historically, it has been practiced in the US and every other country. Countries turn against it when they have mature industries that are being hurt by other countries' subsidies. All of the Asian countries have practiced it with relish over the past 40 or so years. The problem is it won't work forever. Supply gluts happen. Unsubsidized companies go bankrupt. The Asian countries have been built on exports that were subsidized, and when the countries that are being exported to can no longer afford to import as much, the policy boomarangs. India might be the only major economy in Asia that didn't follow the subsidize-targeted-sector-and-export model that was pioneered in Japan.

Ultimately, internal demand and economies that are based on sustainability must be built. It isn't clear to me how that will work when we run up against resource restraints. Especially w/r/t energy, water and soil/nutrient depletion. At least, those are the ones that I keep reading about.



To: Kirk © who wrote (53810)9/21/2011 3:04:57 PM
From: Jacob Snyder  Respond to of 95587
 
<Chinese giving support to their solar industry>

Europe, Japan, and the U.S. also subsidize the solar industry. They do it in different ways, with different results.

It is deeply ironic that China, with a government still officially Communist, is doing a much better job than the U.S. is, managing and growing their very capitalist economy. Their decision-makers were memorizing Mao's "little red book" when they were young. Judging by the results, that was a better education than going to Harvard Business School.