tag:blogger.com,1999:blog-35117130.post6981055943802259369..comments2024-03-28T19:18:40.387-04:00Comments on Northern Reflections: Sabotaging The EconomyOwen Grayhttp://www.blogger.com/profile/06464860078574618579noreply@blogger.comBlogger10125tag:blogger.com,1999:blog-35117130.post-20805575315505123512017-01-17T14:42:36.768-05:002017-01-17T14:42:36.768-05:00Given his history, Steve, my hunch is that you'...Given his history, Steve, my hunch is that you're going to be disappointed.Owen Grayhttps://www.blogger.com/profile/06464860078574618579noreply@blogger.comtag:blogger.com,1999:blog-35117130.post-24937836617218976262017-01-17T13:06:23.701-05:002017-01-17T13:06:23.701-05:00I am still hoping against hope Trump is some kind ...I am still hoping against hope Trump is some kind of wack job Mr Smith. He has correctly called BS on the whole free trade lie. Now lets see how he fixes it. It helps that China and some US states have wage parity.Stevehttps://www.blogger.com/profile/14162783936999869984noreply@blogger.comtag:blogger.com,1999:blog-35117130.post-74896609211040945292017-01-17T03:23:56.879-05:002017-01-17T03:23:56.879-05:00Trump has never been a lower end consumer, T.B. Hi...Trump has never been a lower end consumer, T.B. His business model isn't built around them. In short, he doesn't know how they live; and he doesn't care to find out how they live. His ignorance makes him their own worst enemy.Owen Grayhttps://www.blogger.com/profile/06464860078574618579noreply@blogger.comtag:blogger.com,1999:blog-35117130.post-67412146750520118962017-01-16T20:25:49.697-05:002017-01-16T20:25:49.697-05:0095% of Wall*Marts merchandise is produced in China...95% of Wall*Marts merchandise is produced in China.<br />The well being of the North America economy factors in the Wall * Mart effect in that their cheap( not inexpensive) products subsidise low wages and benefits.<br />Without the Wall* Mart effect the lower end consumer, of which there are millions, is going to be decimated by Trump imposing hefty import taxes.<br /><br />TB Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-35117130.post-9064120706578755942017-01-16T13:53:38.657-05:002017-01-16T13:53:38.657-05:00You provide context that is missing from the op-ed...You provide context that is missing from the op-ed, Mound. As Toby points out, it's not just about growth, but how the growth is distributed. Sharma has nothing to say about that. But, as he points out, if the Trumpistas believe they are going to return to the days of their hero -- Mr. Reagan -- they're smoking something funny.Owen Grayhttps://www.blogger.com/profile/06464860078574618579noreply@blogger.comtag:blogger.com,1999:blog-35117130.post-7016217274776036162017-01-16T13:33:42.407-05:002017-01-16T13:33:42.407-05:00Ruchir Sharma is the head of the emerging markets ...Ruchir Sharma is the head of the emerging markets desk at Morgan Stanley and brings a Wall Street perspective to analyzing America's economy. Unfortunately it's a truncated A+B = C formula model that assumes all other influencing forces are externalities. I'm sure it's a useful model for some short range investment purposes but economic issues, especially political economy, is about much more than investment.<br /><br />It's hard to argue with his conclusion that America isn't going back to the Reagan era or at least the image of the Reagan era many Americans continue to embrace. Yet Sharma's black and white formula ignores, for example, that, when Carter left office, America was the world's largest creditor nation and, when 8 years later Reagan left office, America had become the world's largest debtor nation. A good deal of that Reagan era growth was a function of foreign borrowings infused into the US economy.<br /><br />America's economy remains propped up by its offshore creditors. They have financed, in totality, the cost of America's luxury expenditures - foreign wars and tax cuts for the rich - and the willingness of America's creditors to continue to accept the US dollar as the world's reserve currency.<br /><br />Then again, America has been adding more workers, oodles of them, only they're not Americans. From Nike to Apple, the workforce has expanded offshore in China and throughout Asia Pacific. Productivity is doing well too at least when output is measured against Third World wages. This, of course, benefits Joe Lunchpail not at all except when he has to take his stagnated wage packet to WalMart to buy the only goods he can afford, the products with "Made in China" stamped on the box.<br /><br />As you probably realize by now, I find Sharma's analysis right in conclusion but facile in foundation.The Mound of Soundhttps://www.blogger.com/profile/09023839743772372922noreply@blogger.comtag:blogger.com,1999:blog-35117130.post-77127615086267690652017-01-16T13:18:18.122-05:002017-01-16T13:18:18.122-05:00Precisely, Hugh. There are limits to growth. We ma...Precisely, Hugh. There are limits to growth. We may get to sustainability. But unlimited growth is a myth.Owen Grayhttps://www.blogger.com/profile/06464860078574618579noreply@blogger.comtag:blogger.com,1999:blog-35117130.post-19555969586177701872017-01-16T12:59:32.283-05:002017-01-16T12:59:32.283-05:00How can we expect infinite growth on a finite plan...How can we expect infinite growth on a finite planet, especially as energy gets more costly?Hughnoreply@blogger.comtag:blogger.com,1999:blog-35117130.post-51918336577841171052017-01-16T12:17:53.118-05:002017-01-16T12:17:53.118-05:00Good point, Toby. It's not just about growth. ...Good point, Toby. It's not just about growth. It's about how the growth is shared.Owen Grayhttps://www.blogger.com/profile/06464860078574618579noreply@blogger.comtag:blogger.com,1999:blog-35117130.post-50080468244640719312017-01-16T12:13:23.623-05:002017-01-16T12:13:23.623-05:00There will probably be plenty of growth for the ri...There will probably be plenty of growth for the rich. How far can neo-liberal economics be pushed before people realize that it is just legalized corruption on a massive scale?<br /><br />Tobynoreply@blogger.com