Posted on 07/01/2008 11:35:49 PM PDT by Cronos
Perhaps the defining feature of the global economy in the past few decades has been its increasing financialization. Capital flows have moved rapidly across borders, financial engineering has grown by leaps and bounds and both leverage and speculation have increased manifold. The centrality of finance to the global economy has been brought home recently in more ways than one. First, the subprime mortgages in the US, which few people outside that country had even heard of, found their way into the portfolios of many investors outside the US. Next, the series of rate cuts by the US central bank, in response to the seizing up of the credit markets, has sent the dollar plummeting and the price of commodities soaring, stoking global inflation.
(Excerpt) Read more at livemint.com ...
The idiotic dumba**es who make tax and trade policy sure as hell want the US to get out of manufacturing. It is SUICIDE, pure & simple & inarguable.
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