ezrasfund

The Scariest Chart Ever

This is one notion that should be put to rest.

We are 5% of the world's people producing over 20% of the world's manufactured goods. This fact is indisputable.

Not towels, and shoes, and toys...

Airplanes and computers and media content and cars ( OK, Toyotas and BMW's) and lots of other things that are made with low labor content and very high productivity.

I agree with the point of the original chart and the notion that the US economy and the world economy are in for very rough times due to the deleveraging of the financial system...

But this argument doesn't need the above falsehood to be true.

Our annual exports are about $1.15 Trillion, about the same as China's $1.2Trillion and much more per capita. It's the imports and consumption that are our problem.

This misinformation is a perfect example of the notion that if something is repeated enough times people think it is true.

We've got serious problems, but the fog of this falsehood won't help solve them.


On Jan 20 05:27 PM JohnAl wrote:

> "Debt as a percentage of GDP ended up at %120 in 1946, which is about
> where we'll be when the bailout is complete.
>
> The world in 1946 looked shaky, but things turned out fine, as it
> happened. "
>
> Yeah? We made stuff to sell to the rest of the world in 1946. What
> do we sell them now?