Lok Sang Ho is Adjunct Professor of Economics at Lingnan University in Hong Kong. He holds a PhD in Economics from the University of Toronto and has worked in the Ontario Government as well as academia. Much of his research has focused on housing and the macro economy, with articles published in World Economy, Pacific Economic Review, Journal of International Economics,Journal of International Money and Finance, Contemporary Economic Policy, Policy Sciences, Journal of Real Estate Finance and Economics, Journal of Housing Economics, Social Science and Medicine, Economists' Voice, Urban Studies, Regional Studies, and other publications. Since he published his article on the "World Currency Unit" in World Economy, he has been working to perfect this "indexed unit of account." Daily quotations of this unit in alternative currencies is now available at http://www.ln.edu.hk/cpps/wcu/index.htm (http://www.ln.edu.hk/cpps/wcu/index.htm). He argues that commodity prices should be quoted in this "indexed unit of account," which represents a unit of global real purchasing power, rather than the US dollar. His earlier article in World Economy argues that having bonds denominated in the World Currency Unit will improve the efficiency of global capital markets as it will make real interest rates more transparent. He has published a number of books, including Public Policy and the Public Interest(Routledge), Psychology and Economics of Happiness, Health Policy and the Public Interest, APEC and the Rise of China(World Scientific), Exchange Rate Regimes and Macroeconomic Stability(Kluwer Academic Publishers); China, Hong Kong, and the World Economy (joint editor, Palgrave-Macmillan, 2006). He was president of the Hong Kong Economic Association 1999-2007.
Chartered Accountant, tracking forex insight, mainly AFX, and BFX. Specifically keen to optimise GBP/AUD, upto October 2018. Only doing one pair,regularly purchasing AUD.
Not a blogger,no need to promote my company, enjoy SA and Business Spectator.
I am retired and live in San Francisco’s quaint Sunnyside neighborhood; I live just five short blocks from San Francisco’s only wilderness park: the world renowned Glen Canyon Park!
My investment approach is based on my belief that the US economy is transitioning from a currency based economic system to an earnings/wealth creation based economic system.
I think we are now in the middle stages of this transition: the dollar is still used as global legal tender, but there is vocal group of central bankers advocating changing the global currency system. And indeed, even among our friends, the dollar is losing its luster as a global tender. Our ongoing budget deficits, our ongoing trade deficits, and our ongoing commitment to deficit financing to finance whatever. Our policy wonks decisions makes many conclude that we are no longer in control of our money supply! Can we control expenses? The end will come because we cannot stop printing more money to pay for things;, our expenses must be paid for through revenues, not credit.
The only questions is how and when the end will occur: I think the global currency system will change quickly, with the dollar users simply abandoning the dollar: they will wake up one morning and decide it is no longer prudent to use the dollar as global legal tender. I think there is a strong possibility that the dollar users will abandonment the dollar in panic, like how the Dutch tulip traders abandon their stockpile of tulips, they woke up one fine morning and understood that the tulip is a beautiful flower but not worth the money they paid for it. Panic ensued, with tulip holders trying to sell their tulip stockpile for any price!
I doubt that the dollar abandonment (or the euro, the Yen, or other national currencies used as global legal tender) will occur slowly, simply because the last ones to unload their dollar holding will lose money big time.
So my thinking is that the global currency system will change suddenly, with both domestic and foreign dollar holders taking a loss, with the foreign dollar holders taking the biggest loss.
I pray that the global community will see this currency upheaval as an opportunity to work together to develop a global currency system that is fair and equitable to all players.
Evaluation of the dominant assumptions and an understanding of the dynamics of the economic engine is the basis of an approach to asset allocation that provides for both a rational determination of value and an understanding of sentiment in the form of price as a measure of the irrational nature of the operational environment, an approach that is intended at once to avoid unnecessary risk while at the same time enable gradual rebalance of assets as a means to increase net worth via optimization of appreciation and long term yields. Let's call that buy low and fly high just for fun.
PAUL DIETRICH is the CEO and Chief Investment Officer of FAIRFAX GLOBAL MARKETS LLC (FAIRFAX).
FAIRFAX currently manages investments for private investors, mutual funds and large private institutions throughout the United States.
He is an international corporate attorney and was formerly associated with two Washington, DC law firms, SQUIRE, SANDERS & DEMPSEY, and JONES DAY. As an attorney, he has been an advisor on privatization and economic development issues to the World Bank, as well as several governments in Asia, Eastern Europe and the former Soviet Union.
Before entering the practice of law, he served as Publisher and Editor in Chief of SATURDAY REVIEW, one of the United States’ oldest cultural magazines. He also served for four years as an elected State Representative (Republican from St. Louis County) in the Missouri General Assembly.
Mr. Dietrich is a frequent guest commentator on Fox Business News, CNBC, CNN and Bloomberg TV. He has also been a contributor to the editorial pages of the WALL STREET JOURNAL, the WASHINGTON POST, the LONDON TIMES, the INTERNATIONAL HERALD TRIBUNE, the SINGAPORE TIMES and the SOUTH CHINA MORNING POST. From 1994 to 1997, he was editor of both the REUTERS EMERGING MARKETS GUIDE and the REUTERS ASIAN STOCK SOURCEBOOK.
He is also President of the INSTITUTE FOR INTERNATIONAL HEALTH AND DEVELOPMENT (founded in 1982 by Nobel Peace Prize Laureate, David Morse). He has served as a member of the Board of Trustees of the CATHOLIC UNIVERSITY OF AMERICA in Washington, DC, was a member of the NATIONAL ADVISORY BOARD OF HARVARD UNIVERSITY’S SCHOOL OF PUBLIC HEALTH’S AIDS INSTITUTE and a member of the Advisory Group on International Health Systems Assessment of the NEW YORK ACADEMY OF SCIENCES. He has been a member of the Advisory Board of the JOHN TEMPLETON FOUNDATION. He has also served as a member of the Development Committee of the PAN AMERICAN HEALTH ORGANIZATION (PAHO), and as a member of the Board of Directors of the U.S. CONGRESSIONAL HUMAN RIGHTS FOUNDATION and the AMERICAN-EUROPEAN COMMUNITY ASSOCIATION. He is also the Editor of the award winning book, A GUIDE TO AMERICAN FOREIGN POLICY (1982) and the author of the forthcoming book, GLOBAL ACTIVE INVESTING: HOW TO MAKE MONEY IN BOTH BULL & BEAR MARKETS.