The (Expected) Shot Heard Around the World

Alan Greenspan makes a few comments, and markets around the world tremble. What does he have to say that is so frightening? ”Swollen trade deficits eventually could threaten the economy by souring foreign appetites to invest in the US.” This is news to who?

Greenspan wanted to stay out of the election, which is not quite true when you consider what he did not say prior to November 2. As if we did not know there were fundamental weaknesses in the bloated government. Yes, cut taxes, but you must cut the size of government also, which is GW’s fundamental flaw.

The dollar is weaker around the world, which in many ways helps our domestic economy, albeit on the backs of the consumer. A strong dollar makes imported goods cheaper, so if you are an “America first” consumer, you should be happy, as prices of imported goods will rise. If you are “free-market” value first consumer, you are in trouble until you can get 43 to cut the size of this bloated boat.

posted at 08:10:29 on 11/22/04 by clearpolitics - Category: Economics - [Permalink]

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Nikki wrote:

its cool
03/24/05 11:26:11

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