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Gold/Mining/Energy : At a bottom now for gold? -- Ignore unavailable to you. Want to Upgrade?

To: ahhaha who wrote (1185)	6/21/1998 3:42:00 AM
From: Ahda	Read Replies (1) \| Respond to of 1911

Backed by the treasury that is what i mean. A percentage of gold tied to the dollar so all currency would not fluctuate so drastically. I am not talking bank loans i am talking currency that is of worth. The banks could go have numerous non paying loans if the closure of one most likely would make others quickly rectify their errors versus propping up that which will pull the rest down. If our banks experienced a series of defaults it should be an internal issue not an external catastrophe as currency should be a stable unit . I am saying this as relationship to the US now where we could find ourselves at a future date unable to buy because our own dollar a paper vehicle has lost luster on a world base. What if we are ever forced to take those assets allocated to the IMF as a write off? We would look ill. The banks are not nations it should not be this way they are lending institutions. The failure of the banks is not the failure of the nation. One part of the economic structure need not take the whole. One part should not be so strong. I found our statements of get your act together Japan a shade hard to swallow. You are stating political interests should not be trade interest so free enterprise will find its own level. I find this idealistic because nations are different you leave yourself Vulnerable. If hostility develops between nations one just might say i am not selling to you. We place sanctions what if we find ourselves in the same boat. There is a flaw in being reliant externally the internal must be capable of being self sustained. I am aware China has become a competitor to Japan. We can't possibly compete with China our labors cost are are way our of line. A great portion of the garment industry left Canada went to China because of reduced costs. China of course is trying to court more. We can't compete at present with nations that have such cheap labor and socially is would be a disaster for us to try to reduce our labor cost when here we are very aware of the gap that presently is becoming greater between have and have not. So our competition lies in the fact we outstretch our capital and our control lies there ir however contributes to the demise of our middle class. The question becomes of how to compete with Increasing our service sector what all is included under the blanket called service? Does that not mean we have to become educationally superior and we arn't because our education system just isn't meeting the needs. It would be wonderful if all looked for other interests but it is only balanced it seems by control and it should not be but it is. I do hope no one gets desperate enough to lash out with nuclear weapons and it could happen we could end up by accident in full blown problems with China Backing Pakistan and Russia sticking a hungry nose in to make matters worse.

To: ahhaha who wrote (1185)	6/21/1998 9:43:00 AM
From: Gabriela Neri	Respond to of 1911

"I might add that the US doesn't want the yen to rise. The BOJ doesn't want it to rise. Summers and Rubin want it to continue to slowly fall so that China doesn't devalue the yuan and because our costs of doing business are held down. The competitiveness of Asia also keeps our labor from demanding inflationary compensation. Eventually even a slowly falling yen would force China to lower the yuan. That's tomorrow's big deal international crisis tempest in a teapot." ahhaha, I couldnt agree with you more. This is the reality-bullseye!!!