Tuesday, Nov 13, 2007
The fast-inflating economies of China, emerging Asia and Eastern Europe will be reminded globalisation cuts both ways. Jobs can flow from Shanghai to Los Angeles
telegraph.co.uk: US will retake economic superpower crown
Like a great battleship at sea, the US industrial and export machine is slowly turning around. Within a couple of years, its big guns will be sweeping the world again, ready to silence pious talk about America's trade deficit - and to menace chunks of Europe's manufacturing base.
Posted by chris @ 05:19 AM (190 views) Add Comment
1 Comment
- If you do not have an admin password leave the password field blank.
- If you would like to request a password allowing you to add comments and blog news articles without needing each one approved manually, send an e-mail to the webmaster.
- Your email address is required so we can verify that the comment is genuine. It will not be posted anywhere on the site, will be stored confidentially by us and never given out to any third party.
- Please note that any viewpoints published here as comments are user's views and not the views of HousePriceCrash.co.uk.
- Please adhere to the Guidelines
1. Icarus said...
China's emergence is over-rated. It's going to hit environmental and economic buffers. Its inefficient use of fossil fuels (half as efficient as India's, which in turn is a third as efficient as the West's) is poisoning the land, waterways, sea and air of China and its neighbours and causing, among other devastating effects, water shortages in cities. It makes Bush look like a tree hugger. The economic buffer is China's following the high-saving, protectionist, creditor-country, trade surplus, dollar-supporting policies of an emerging wannabe. Parallels have been drawn between China now and the US in the '20s (all of the above but delete dollar-supporting and substitute British pound-supporting) and Japan in the '80s. Loose monetary policies to support the currency of the major financial power of the time led to asset bubbles in the emerging country (equity bubble in the US, property and other bubbles in Japan). In both cases the central bank had to pierce the bubble. In the first case it ended in tears for the capitalist world, in the second the tears were largely confined to Japan. Now we have inflation and asset bubbles in China.