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.

Pastimes : Ask Mohan about the Market -- Ignore unavailable to you. Want to Upgrade?

To: John Hunt who wrote (11372)	12/13/1997 2:40:00 PM
From: Rational	Read Replies (1) \| Respond to of 18056

John: <<Are US taxpayers ever generous ... Canadians may need some cash one of these days>> You are forgetting the windfall from the IMF rescue operation. Korea will pay 18% on the loans; IMF's cost of funds is 6-7%. Summers is a famous professor of economics/finance, who was instrumental in the Mexican bailout. It is like this: You have bought stocks on margin and due to panic selling, the price went down triggering a margin call. If the rescuer known for sure that the stock will go up, it pays him to rescue you by lending at a high rate. Korea will open up its markets. This means, allowing the rich to buy up Korea at bargain prices. So Summers is right. No sovereign government likes to get into the situation of Korea. It is not pleasant and Koreans know it. They have been talking about perpetual economic subjugation by the rich, and they have no alternative. I do not see anything wrong for the US taxpayers. They earn a large part of (18-6)% that IMF makes. They earn the goodwill of the world, etc. Smart Koreans know whom to blame; their own corrupt govt that wanted to have a stake in every conglomerate by lending recklessly! Sankar