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potentially bad news for the USA
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| rupert |
I was surfing and I came across this article. It seems other people share my view about the US dollar. President Putin is considering doing his countries oil sales in Euros instead of US dollars. If Russia does this then other countries will follow, which will mean higher oil prices for the USA as well drastically worsen the US terms of trade.
http://www.moscowtimes.ru/stories/2003/10/10/001.html |
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| St_Andrew |
| This is good, us should learn to live without foreign support :p |
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| occrider |
| quote: | Originally posted by St_Andrew
This is good, us should learn to live without foreign support :p |
European economies should learn to become less reliant on the US economy ;) |
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| St_Andrew |
| quote: | Originally posted by occrider
European economies should learn to become less reliant on the US economy ;) |
yes, and instead make themself dependent of foreign support from countries from all over the world.
Forza globalisation! |
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| occrider |
| quote: | Originally posted by St_Andrew
yes, and instead make themself dependent of foreign support from countries from all over the world.
Forza globalisation! |
Eh ... foreign investors wouldn't invest if it weren't lucrative for them to do so. Free markets are immune to political agendas! |
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| St_Andrew |
| quote: | Originally posted by occrider
Eh ... foreign investors wouldn't invest if it weren't lucrative for them to do so. Free markets are immune to political agendas! |
No of course it's profitable for them to invest in that markets but the thing is that it is profitable for investors to invest there cause everyone else does, not necessarily because that's the best market. Don't get me wrong, i think globalization / free market is good. But one downside is that people are greedy sometimes... |
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| dj adagnitio |
| quote: | Originally posted by occrider
Eh ... foreign investors wouldn't invest if it weren't lucrative for them to do so. Free markets are immune to political agendas! |
Can you tell me where their are any free markets in this world? |
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| occrider |
| quote: | Originally posted by dj adagnitio
Can you tell me where their are any free markets in this world? |
Well there are no such thing as TRUE free markets free from all government regulation (Just as there are no such things as true democracies). If you want to argue from the standpoint of technicalities than you win :rolleyes:. However, most western markets are generally regarded as free markets whereby money follows the path of arbitrage-free pricing models. |
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| occrider |
| quote: | Originally posted by St_Andrew
No of course it's profitable for them to invest in that markets but the thing is that it is profitable for investors to invest there cause everyone else does, not necessarily because that's the best market. Don't get me wrong, i think globalization / free market is good. But one downside is that people are greedy sometimes... |
If there are more lucrative markets / open opportunities that are worth the risks, investors WILL go to those markets. |
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| St_Andrew |
| quote: | Originally posted by occrider
If there are more lucrative markets / open opportunities that are worth the risks, investors WILL go to those markets. |
If most of the world's investor should go and invest in instead of in the US economy, the soon would have an economy as strong as US. And if they had a economy like US investors would think that that country was a safe investment and therfore invest more money in companies in that country, so most investors is just looking for cheap money, not to invest in groundbraking ideas and a brilliant economic systems... |
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| occrider |
| quote: | Originally posted by St_Andrew
If most of the world's investor should go and invest in instead of in the US economy, the soon would have an economy as strong as US. And if they had a economy like US investors would think that that country was a safe investment and therfore invest more money in companies in that country, so most investors is just looking for cheap money, not to invest in groundbraking ideas and a brilliant economic systems... |
It depends on the value of the investment. Of course if you pump enough money into any economy you can eventually make it "safe" to invest in. However, oftentimes the return on your investment simply are not worth the time, effort, and risks. There is a lot of foreign investment into the US economy because US companies are oftentimes successful and lucrative ... especially driven by the huge consumer base that exists in the US. The point I am getting at, however, is that there is no such thing as a free lunch. Investors aren't missing out on "money" deals outside of the US simply because they are following the crowd and doing what everyone else is doing. Investors are wealthy for a reason ... they are saavy and intelligent with their money. Ultimately they follow the money trail. It's subject to change of course, but right now, the money trail apparentely leads to the US ... |
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| Yoepus |
| quote: | Originally posted by occrider
but right now, the money trail apparentely leads to the US ... |
Can I buy a map from you? I'm having troubles finding the trail.:D |
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