posted on Mar, 16 2005 @ 09:44 AM
Originally posted by sardion2000
Heh, you're ignoring that the US dollar is actually GOOD for the export sector.
Its good for the short term, and its only good if you dont owe a lot of money to foreign sources. A low dollar value is good for exports, but its
absolutely cr*p for imports and paying back your debt, and because of this the low dollar value will hurt the US economy in the longrun and is not a
Google up Mems and Nanotechology. That is the future and let me tell you there ain't no way those industries are going to be outsourced.
Nanotech has been 'the future' for the past 50 years, and we are no closer now to having an industry based around it that will support an entire
economy. Certainly there has been movement in the area, but nothing that amounts to an opening of a new industry.
Way to hi-tech and expensive to do so it has to be indigenous.
People said the same thing about microelectronics, fab plants etc and you would be hard pressed to find a computer on the shelf now that has anything
more than an Intel CPU produced in the US. Anything the electronics industry comes upwith these days can be up and running in Taiwan or China within
the week. It wont take the 30 odd years that it took the electronics industry to be outsourced, these technologies will be available from asian
sources within a year or two when they become mainstream in the US. And they will do it cheaper and in larger quantities.
We are entering a Globalised economy where there is going to be winning industries and losing industries.
In that case, the US will pretty much always loose out. Labour is cheaper in the 2nd world, materials are cheaper, property is cheaper. THere is
only two reasons to go to the US these days, and that is either research or consumers.
Remove the political blinders, the Trade Deficit has been overhyped to an extreme degree. Budget defecits and Foreign Debt is more important in the
long run IMO.
If you dont deal with a trade deficit, you are in a lot weaker position to deal with debt and budget deficits. They are all intertwined in the grand
scheme of things.
One last note, RichardPrice you do know what a Knowledge Economy is right?
Yes, and I am also aware that there yet hasnt been a viable economy based around it yet. To have it as a main economy of a country is narrowminded
because it isnt sustainable.
Im not being antiUS here (before the usual people pipe up with that comment) but the future US economy is pretty much based on ifs and maybes and is
in no way currently viable.