Obama to bring in inflation trend?
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BUY AMERICA!
I believe that when taxpayer dollars are used, they should support the things produced here at home," Democratic Sen. Byron Dorgan, author of one of the provisions, said in a statement.
Many analysts say the measures reflect the interests of small sectors over the larger economy, which could suffer from reduced trade and higher steel prices.
"The result, according to my calculations, is that the U.S. will lose more jobs than it will gain," said Gary Hufbauer, an economist with the Peterson Institute for International Economics, a Washington think tank. "We are going to poison the wells of world commerce if we do this."
Protectionism = INFLATION !! OMG !!
Obama is coming in big time with twice bigger horns than Bush. Hope he knows the consequence of his policies!
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Obama is a liberal. And it is very likely that he would resort to some levels of protectionism in order to restore his economy.
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And Singapore, being such a small economy, will likely devalue and depreciate it's own currency to maintain competitiveness.
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i have started to lose faith in obama. biden want to save the middle class, obama want to strengthen union. that say his attitude towards globalisation and free trade.
protectionism here we go.
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Originally posted by reyes:
i have started to lose faith in obama. biden want to save the middle class, obama want to strengthen union. that say his attitude towards globalisation and free trade.
protectionism here we go.
So my dear Fuhrer,Do u think it is the right time to strike the Americans, afterall, the president is a Democrat, what you expect, surely he will protect the union and his own peoples, unlike the Republicans, who love globlisation and fat jews business.
Now i begining to understand Dr. Mahathir anti globalisation attitude during the asian finacing crisis, guess now he is laughing all the way to heaven
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Originally posted by eagle:
And Singapore, being such a small economy, will likely devalue and depreciate it's own currency to maintain competitiveness.
If that happens, it means that Singapore's currency would inflate higher than that of US.
Paid in their millions, but they are only worth the price of a Xerox machine.
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other then UAE... i see no other country has the ability to buy over USA now...
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during the 1998 asian financial crisis, some people ever asked will currency attacks happen in USD? At that time when USD as safe haven and asian currencies were dumped like shit, it was hard to believe that USD might have asia style sell-off.
11 years later in 2009, with a new president who is bent on pushing up the US economy while federal debt is hitting the legal limit, a USD might just happen.
The irony is S$ might have to track USD down since S$ tracks a basket of trade weighted currencies.
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inflation is not on the radar screen yet as inflation across the world is dropping. the major issue to get the financial institution out of the crisis so that lending can continue and business can continue to operate.
the USD will still remain the currency of the future. i think there is report to replace USD with EURO. well, i think EURO is not doing well either. what other currencies can you really put your money at the safest bet. sad to say, USD is the only sensible choice we have.
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Protectionism everywhere! Ex-Singaporeans who migrated to other lands are in for a rough ride! Good luck !
“What you’re seeing is a form of financial protectionism where banks retreat to their home base,” Brown said in Davos. “The tendency at the moment will be to either retreat into protectionism or retreat into doing nothing.”
Lagarde said at a Jan. 31 press conference in Davos that bank bailouts and fiscal stimulus plans are “implicit protectionism.”
Brown’s government led a bailout of British banks, including Edinburgh-basedRoyal Bank of Scotland Group Plc, which he accused of taking “irresponsible risks.” In return for taxpayer funds, banks have been required to maintain lending at 2007 levels to offset a withdrawal of loans from foreign banks.
Rise in Protectionism
Gary Cohn, co-president of New York-based Goldman Sachs Group Inc., said he’s concerned about an increase in protectionism in industries like banking and automobile manufacturing that have been supported by taxpayer money.
“Are the U.K. financial institutions going to lend money to other corporations in other countries and withstand the loss?” Cohn said. “I don’t know what the answers are, but it’s definitely an interesting question.”
Rupert Murdoch, chairman of News Corp., said at a panel discussion in Davos that he too was concerned about protectionism.
“A leading French industrialist told me how the government there, the President there, says ‘I understand you have to make savings in France, but don’t fire anyone in France,’” Murdoch said. “There’s been a very dangerous move towards protectionism in many places.”
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don’t fire anyone in France,’” Murdoch said.
"Don't fire locals" is a trend amongst all countries now. What about British / Australians / etc with different Asian skin colours ? Are they considered "foreign - locals" or pure locals ?
Lets wait and see.
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SS angel,
it is stupid to ever consider striking USA.
they will be the big bro of the world before and after the crisis. there is simply no alternative.
in fact i dont think we should worried too much about nationalisation of the USA banks and financial institution. the pain will last for few years. when the economy recovers, the USA can then again start selling the banking shares to the resurgent hedge funds, SWF and potential investors.
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Originally posted by reyes:
inflation is not on the radar screen yet as inflation across the world is dropping. the major issue to get the financial institution out of the crisis so that lending can continue and business can continue to operate.
the USD will still remain the currency of the future. i think there is report to replace USD with EURO. well, i think EURO is not doing well either. what other currencies can you really put your money at the safest bet. sad to say, USD is the only sensible choice we have.
to get the financial insitution out of the blue, you need a total reengineering ie a total revamp, kick out all the MDs and CEOs who runs the company into a bad shape, aren't CEOs responsible for their insitution/corporation downfall?? But sad to say, US govt is not doing this, the CEOs went to congress and said that the workers are absorbing high paid and refuse to get wage cut due to strong unions, (GM per worker gross US$75 per day comparing to toyota US$43 per day). The workers' unions went to Congress and tell the govt that CEOs are getting high bonus and paid...so which is which, the ding dong story will go on and on.....unlike Japanese or Korean who emphasized on how to cut cost together and get out of this bad state fast, so i guess the Asian markets will recover faster than the US. -
Originally posted by reyes:
SS angel,
it is stupid to ever consider striking USA.
they will be the big bro of the world before and after the crisis. there is simply no alternative.
in fact i dont think we should worried too much about nationalisation of the USA banks and financial institution. the pain will last for few years. when the economy recovers, the USA can then again start selling the banking shares to the resurgent hedge funds, SWF and potential investors.
My dear Fuhrer,
It is predicted the the economy will recover within the next 5 quarters, but it will be a different economy, and US of A will definitely lose it share of the market whereby China or perhap Arabs states and Russian or even Jpn and korea could be the next super economy powerhouse, farewell USA.
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china maybe. but there is no other economy that will have the spending powerlike the USA economy.
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Originally posted by reyes:
china maybe. but there is no other economy that will have the spending powerlike the USA economy.
i will rather said credit power than spending power. And because of the credit power, the financial system is in chaos once the credibility of credit lost it power, if it is to be spending power, i think USA will be begger now. -
on paper they are bankrupt. but in real, if they bankrupt, the world will be bankrupt. this is a can of worms no one in the world would like to see. Just like PAP.
USA will remain dominate of the world market. the financial institution could be down but not for long, american still has lotsa world famous brands. like you said. they will re-invent and come out strong again.
frankly i do not want to see a withdraw american which is icon of capitalism. would you rather trust, china, russia, middleeast then america? i dont.