[lit-ideas] Re: The sky is falling. No, really, the sky is falling.

From: Andy <min.erva@xxxxxxxxx>
To: lit-ideas@xxxxxxxxxxxxx
Date: Mon, 25 Feb 2008 22:09:17 -0800 (PST)

This has nothing to do with the subprime mess.  That's all the funny money 
mortgages that banks created out of thin air that they then bundled into 
securities and sold to pension funds and the like, around the world no less.  
With China it's our trade imbalance; they build flat screen TV's and everything 
else and we fill our landfills up with them.  It's connected to the subprime in 
that people were using their home equity to buy this stuff, all made in China 
or India or Brazil or someplace, courtesy of U.S. corportions.  
   
  It's all so complicated and so out of control that the very bankers and hedge 
funds that were doing this didn't understand what they were doing, literally.  
They just knew they were making lots of money, even if it was illusory money.  
Seems to me illusory money would bring illusory losses but it doesn't work that 
way.  Pension funds and 401k's and others who invested in this lost real money. 
 To build our weapons and run the country, we sell China (among others) 
Treasury IOU's, like two billion dollars a day.  That's why it's a big deal 
that other countries may be investing here to build Air Bus.  Toyota I think is 
building plants.  You'd think American corporations would come back to America. 
 They yet may as Chinese workers start to make more money and Americans take 
less money and the falling dollar makes our goods more competitive overseas.  
  

Andy <min.erva@xxxxxxxxx> wrote:
    We could carve up the moon, but only if the Chinese would agree to pay for 
it.  More probably, if the Chinese wanted to destroy us, all they'd have to do 
is trade in our dollars for euros.  They wouldn't have to fire a shot.  I only 
had time to get through half the discussion, so I don't know if they mention it 
or not, but I read elsewhere that the Chinese have been setting us up basically 
for financial disaster.  We are so in hock to them at the same time that we 
built their economy, while we tore ours down building our weapons with money we 
borrow from them.  

       
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References:
- [lit-ideas] Re: The sky is falling. No, really, the sky is falling.
  - From: Andy

[lit-ideas] Re: The sky is falling. No, really, the sky is falling.

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