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

To: Haim R. Branisteanu who wrote (93155)	8/6/2012 6:29:23 AM
From: elmatador	1 Recommendation Respond to of 217802

"All those shenanigans brought the world economy to its knees" were necessary because the Baby boomers were taking from and no longer putting into economy. It is demographics, Haim. The developed countries had passed their Demographic Window, and the baby boom give them a new oomph. They had parents that experienced the recession. They educated their kids. The world economy controlled by Bretton Woods had all mechanisms for growth. The baby boomers, concentrated in WW II affected countries Japan, Europe and North America, had no competition from Africans, Chinese, Indians, USSR nor Latin Americans Neither for markets, jobs nor capital. By the time their net contribution wore thin, their economies tried to keep the pace. Shenanigans started appearing first was Nixon Shock of 1971. Slow one after another, cracks appeared but were repaired here and there by the G-7 acting as a cartel of currencies during the 80s. Then communism collapsed. Let loose a lot of human power into world economies. China, to avoid USSR fate and balkanization was forced to reform. By them baby boomers, used to monopolize job markets and had become soft, were so costly that the businesses that employed them could no longer afford their salaries. China appeared just in time to import parts of these businesses to produce there at lower costs. Japan was, during the 90s, dismantling entire factories and shipping them to West Java. The baby boomers had their days of wealth counted...