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.

Strategies & Market Trends : Bosco & Crossy's stock picks,talk area -- Ignore unavailable to you. Want to Upgrade?

To: Bosco who wrote (2602)	4/5/1998 10:58:00 AM
From: Crossy	Read Replies (1) \| Respond to of 37387

Bosco, hope Your niece is doing well. This is a tough subject, even for people who are really motivated <G>. Let me first respond that I really back You up on the first part of Your message - I mean Your view of Malaysian, Indonesia and the like. Let me add only one remark here: economics claim that the causal relationships it reveals claim validity regardless of the socio-cultural background of the economic system described. This means that "intersubjective comparisons" can and should be used to asess the status quo and the relative performance of a given economy, especially in a global market environment, where seperation is almost impossible, even if it is deemed as a goal by the politicians (re: India right now). On Japan, let me point out that before Japan depression (that's what it is - deflationary environment with laggard GNP) Japan had no foreign debts. No they have plenty of it (at least 30% of GNP) AND there's no end of the depression in sight. All those "supplementary budgets" "bail out packages" "TEMPORARY (!) tax cuts" etc. were implemented and didn't change a thing. If it didn't cure anything why have they been implemented ? Also joblessness in Japan is around 3%. Ok it's more than it was in boom cycles but due to "lifetime & longterm employment policies" of big corporations the situation is in no way dangerous. Public work projects in such kind of an environment just let the state sector grow. Best thing would be infrastructure projects like fibre-optic lines an the like. This is Public-investment vs. public consumption, the latter would only rob the private sector of funds it would otherwise have invested itself. My reason to favour a PERMANENT (!) income tax cut together with a revamp of Japanese Tax system is not based on a cry for a demand stimulus package but instead to generate the supply side of the equation. Less income taxes not only mean more private consumption but less government power(s) on private spending decision - e.g. a more efficient way of doing economic decision in a macroeconomic context. Midterm (2 years) this should encourage investment as well. Also japanese tax-structure is not an "individual tax system" but based on families itself, which is hampering growth. Such structural changes have big implications on midterm economic performance. Last but not least I think that the japan central bank created the recession by tightening money in the early nineties. This is a duplication of the Great Depression of the US in the 30ies. I hope that Japaneses authoritires have learnt from that experience. I as an investor sit and wait. If I see a silver lining on the horizon I start buying Nikkei or Topix call options <G>. My losses are limited. For the people under that economic "leadership" it's a different story altoghether.. best wishes CROSSY BTW. I enjoy this a great deal, too

To: Bosco who wrote (2602)	4/5/1998 11:32:00 AM
From: Crossy	Read Replies (1) \| Respond to of 37387

Bosco, looked to CRUS thread and saw Your notices there. Really think that is a good play. Licensed its Rambus & graphic know-how to SIII, strong position in DVD, PCI-Audio, V.90, maybe it will board the xDSL train. Teo's have an activist style from my knowledge but they use a more gentle, persisting style (re: "convincing <G> incapable management") to influence change than many other funds who act more as rumbling bulls. I really prefer the fox style (Teo's) over the bull's. regards CROSSY