KingGeithner

10.2%

The perma-bears on here are as blinded as the perma-bulls were from 2002-2007. You are all too convinced by your own arguments to see that the US will not collapse, has avoided an economic holocaust, and likely will benefit the most (of all already developed nations) from rising emerging markets. The US is the global leader in pharma, tech, biotech, large multinational corps, and with a weakened dollar, these companies will only grab even greater market share in their industries.

Now, unlike most of the posters on here, I am not completely firm in my opinions, and do allow for the chance that I will be wrong. There still is a chance that we can experience a double dip. However, I think the perma-bears, or any individual that fails to consider that they maya ctually be wrong, are setting themselves up for disaster themselves. Good luck perma-bears, but I think you will probably miss out over the next few years because most of you are completely inflexible with your opinions.

Bill Gross: Six Month Rally Is 'At Its Pinnacle'

I find it amusing that people take what Bill Gross says as gospel. He farts and the sheep follow him. He has a self-interest in poor performance of equity markets....HE IS THE LARGEST BONDSMAN IN THE WORLD. I take what he has to say with a grain of salt, much like I take what Cramer has to say with a grain as salt because stocks are not always the ideal investment.

How to Boost U.S. Exports

That is the worst hair piece I have seen...looks like road kill

The Greatest Depression Is Coming

The real Depression is that this writer and many posters on this site refuse to believe that anything short of an economic holocaust will occur in the US. Things will be bad for years to come, but not as doom and gloom as the 100% bears are preaching. These same bears have as much conviction in the validity of their opinions as the full-on bulls did earlier in the decade. I am always skeptical of people who have complete blind faith in their own opinions.

Macroeconomic Policy for a Stronger Recovery, Part 2

Great article. Typical SA Republican cynicism

Is the FHA a Bailout Waiting to Happen?

This article propagates a lot of the incorrect criticism about FHA loans. FHA purchases actually have substantially more red tape to clear than other mortgages, more documentation requirements on personal finances, and higher credit scores requirements.

Pundits Are Wrong: Healthcare Reform Will Increase Profits

Good article. Shotei is apparently one of the short sided individuals who think a public plan, which in all likelihood is never going to see the light of day in any bill that is passed, will pose a threat to insurance companies. Amazing how many conservatives admonish government as being inefficient and costly, yet somehow believe the government would be able to produce a cheaper plan than the private sector!

China: Exactly Where Japan Was in the 1980s?

Yaudy -

Japan makes better electronic products than the US BECAUSE of its educational system. While it may not have a Harvard, it actually does have prestigous universities. Schooling in Japan is also much different in elementary through high school than in the US, as many children actually attend classes and club meetings on weekends (and their school days are longer than in the US). So yes, it appears roger and I do have blind faith in an advanced education system being a means for prosperity for a nation.

Soviet Russia depended on its workers, and did not have a legal system that recognized property rights or established mechanisms for resolution of grievances. Look how that regime ended up. This will forever be a thorn in China's growth. As much as I disagree with Ayn Rand, the basic tenet that if government removes the incentives for individuals to innovate and enjoy the fruits of their hard work and discoveries society will be stunted, will always ring true. Until China can move away from constructing low quality garments, toys, etc., and actually create its own products, wealth will be capped at how high it can grow.


On Aug 27 04:54 PM Yaudy wrote:

> Roger, blind faith like yours in Harvard and lawyers is exactly the
> source of America's problems. Japan does not have any school that
> can compare to Harvard, and does not have a ton of lawyers which
> the US has, so how come Toyota makes better cars than GM? How come
> GM's Harvard and Wharton MBAs and lawyers now live on government's
> charity to survive. It is workers, Chinese or American, who drive
> the economy, not the top executives who makes 200 times the workers
> salary. See the problem?

China: Exactly Where Japan Was in the 1980s?

Yaudy - Simply amazing. You contend China will continue to grow WITHOUT an education system. Without education, China can rely on forever being a manufactoring nation, merely taking orders from whatever a multinational company instructs them to do. It is only a certain amount of time until another nation can produce even cheaper labor (Vietnam is already eating away into business that would normally go China's way). Chinese wages have been increasing, albeit still at poverty levels, meaning a threshold will be reached where China is no longer the cheapest option to locate a factory. China is stuck in a conundrum, because if personal wealth grows too large, its factory workers might actually demand to be paid middle class salaries, again, only encouraging companies to move their manufactoring elsewhere. The only way China can protect itself from these inevitable developments, would be establishing mechanisms that would foster new ideas and its own products to sell to the world.

Furthermore, China lacks any system to protect property rights, which will only stunt its growth. Where is the motivation for an individual to innovate and develop a new product that the globe will need, if the government cannot even protect that person's patent/trademark rights?

China: Exactly Where Japan Was in the 1980s?

Completely in agreement, Roger.

China lacks sufficient natural resources to actually make its products. As the author also points out, China largely does not actually develop the products it makes, and merely follows the directed outlines of what the finished product is supposed to be. China has not showed an interest in developing first rate education and globally acclaimed universities. Whereas, Japan quickly developed outstanding educational infrastructure which enabled the nation to PIONEER, INNOVATE, and DEVELOP completely new industries and companies. This generated massive amounts of wealth that lead to some of the largest multinational companies (Sony, Toyota, Nintendo, etc.). Can one of these people drinking the Chinese Kool Aid please tell me in what areas the Chinese are at the global forefront, how many top notch universities exist, and what % of the population is actually literate?

China has remained a producer nation rather than use its capital inflow to take the next step and build an educational system. The sole reason for an American/European company to use Chinese labor is because it is cheap. It is only a matter of time until Vietnam, Mynamar, Laos, or any other nation that can produce even cheaper and reliable labor than China. What will happen then? Where will China's growth come from? No middle class, very few companies that actually produce anything of innovative value to the global economy.

On Aug 25 05:41 AM roger maxims wrote:

> And therefore, whilst logic is stupidity's worst enemy and ignorance
> is the latter's best friend, tell me your reasoning.
>
> Time to teach you about natural resources:
>
> The only way that China can grow is by gulping mountains of steel
> and lakes of oil. What else can you use to feed machines that manufacture
> and to fill workers' rice bowls (extra virgin olive oil)?
>
> Au contraire, the only way that the real First World can grow is
> by inventing new technologies, which requires a nanocentimetre of
> reinforced steel for their Swiss-made heavy duty sketch pens and
> a pea-sized drop of saffron oil to cleanse the free roaming mind.
>

China: Exactly Where Japan Was in the 1980s?

Great post doubleshortetf. Somehow we are supposed to believe that China, without any middle class whatsoever, will continue to decouple itself from the rest of the world when it still nearly completely depends on EXPORTS and the financial strength of its trading partners for growth. China's growth remains contingent on the rest of the world buying their (inferior quality) products. I do not see sustained long term growth without increased social welfare spending (to increase domestic consumption), and some form of private property rights or legal system that protects individual entreprenuers.


On Aug 23 10:10 PM doubleshortetf wrote:

> Been to China over 30 times since 1998 while working for 3 multinationals.
> It's amusing to see "experts" who has not been to China or spent
> few days in the big Chinese cities recommending Chinese stocks...
> Wonder if they ever spent weeks at a time in gritty factory towns
> or poor interior areas...
>
> Some sober facts:
>
> 1. China is a communist country ruled by 1 party with iron grip.
> Party bosses pick the politicians and many private company managements
> since many private companies are ex-SOE (communist state owned enterprises).
>
>
> 2. Corruption in China is rampant and one of the worst even down
> to lower ranking employees. Even factory canteen chef gets "envelopes"
> in scheme where he claims he received 10 bags of rice when only 8
> bags are delivered.
>
> 3. There is almost no "law" since law itself is written to support
> the communist party or corrupt local communist bosses. Judges are
> appointed by the local communist boss and few if any understand law.
> Many judges got job thru "guanxi" or connection and of course bribes.
>
>
> 4. The Chinese banks in are BIG TROUBLE. E&Y got in heaps of
> trouble for discussing hidden bad and noncollectable debts. Local
> communist cadres dictate banks to lend to their pet projects and
> of course friends who bribe them not to mention COMPLETE lack of
> transparency.
>
> 5. No one except pea size brains trusts the communist government's
> statistics which are MANIPULATED.
>
> 6. Many of the listed companies numbers are COOKED. Auditors and
> their management can be bribed and extorted. It's beyond me how anyone
> would trust Chinese companies' financials unless audited by Big 4.
> And even Big 4s audited numbers are suspect since most Chinese companies
> carry multiple books including one for taxation and another with
> slush funds.
>
> 7. Latest Chinese share and commodity appreciation have lot to do
> with communists pumping money to the economy by directing the banks
> to lend. This kind of stimulus cannot go on.
>
> Now is good time to buy FXP when all the investment gurus in unison
> are recommending Chinese stocks.

China: Exactly Where Japan Was in the 1980s?

Oh Jeff, good to see you instantly jump into mud slinging once again rather than engage in civilized discourse.


On Aug 23 03:39 PM Jeff Nielson wrote:

> As the author of some of the most absurd nonsense I've seen on "Seeking
> Alpha", I'm wondering how much you have to pay them to get your tripe
> named an "editor's pick"?

China's Consumption Challenge

It is also interesting how one can become a 'Top 50' poster on a financial news website by writing meandering/complete stream conscious posts which have nothing to do with the subject of the article.


On Aug 23 01:20 PM Prudent Man CFA wrote:

> Totalitarians never give their citizens Freedom. China's riots are
> increasing, worldwide exports are decreasing and their ability to
> finance U.S. debt, because of the decreasing exports, is evaporating.
>
>
> Maybe the Chinese people will want some of that money that is financing
> America's profligates. It is interesting how quiet it has become
> regarding China's Human Rights now that the Progressive Left has
> assumed complete political power, for now. The elitist "progressives"
> (a term used in the 1920's for Marxists and is still germane) fund
> their collectivism at the cost of peasants. That is how perverted
> Classical Liberalism has become.

Cash for Clunkers May Cost Up to $45,354 Per Vehicle

The car you are exchanging in has to be below a certain MPG, I believe 17, and the car you are buying has to be above a certain MPG. If you google it you will stumble across the exact numbers.


On Jul 31 04:37 PM Samsung wrote:

> Interesting article. Are they giving the rebate for fuel efficient
> cars or is this just all cars? in other words - is the policy really
> going to help the economy downshift to more environmentally friendly
> cars - or will the rebate allow someone to buy a SUV ?

Cash for Clunkers May Cost Up to $45,354 Per Vehicle

Well, then I don't want to help pay for your kid's education, or the roads you drive on, or any other service you use from the government that I may not be using either.


On Jul 31 03:20 PM Big Bubbette wrote:

> This is BS. First we bail out the unions, GM and Chrysler. Now we
> are supplementing the purchase of vehicles, which likely will help
> out the Japanese auto makers. Meanwhile, we are borrowing more money
> to fund this program. So we keep borrowing money and buying cars
> and this is a good business model? More debt being piled on the backs
> of taxpayers. Enough already. I do not want to help my neighbors
> buy a car.
>
> Can anyone confirm that Cal Worthington has been named the new Clunker
> Czar?