Subject: Marketwatch Article about China and US economies by Brett Arends
http://finance.yahoo.com/banking-budgeting/article/112616/imf-bombshell-age-america-end-marketwatch
Our son, Nate, sent me the above link. Thanks for sending the article. My comments:
Brett Arends is a reasoned and good financial writer. I liked the article. I don’t think it matters though what measure is used to evaluate the size of the U.S. and China (or any other country for that matter) because within 5-10 years China’s economy will, indeed, be near the same size as the U.S. and that is OK. It does not mean the “end” of the U.S. and so that part is not realistic (dare I write: nonsense?).
What does it mean to have two economies nearly the same size? It means more and more people to buy goods and services. Not just from the U.S. or China but other countries also. It is quite a good thing. Just like the past “era” of having the U.S. four times the size of the once second largest economy of Japan and China in 10th place. Not that long ago actually.
It is truly wonderful to have more and more people entering the middle-class and buying products and services. There is plenty of room for the U.S.’s Treasury bonds in the market just as there is room for Japan’s and any other country's debt. And with more people no longer on farms living on dollars a day but instead participating in the world economy we have everything to be optimistic about.
An Introduction
Hi. Welcome to BourGroup and my blog. Phil
Phil Bour is a CERTIFIED FINANCIAL PLANNER(tm) professional since 2004, a Magna Cum Laude college graduate and an accounting professional for over 35+ years. I love numbers, statistics and economic history.
I am also an Enrolled Agent (EA) to represent taxpayers before the Internal Revenue Service and to prepare tax returns.
"Phil"osophy: I believe that you can manage your money on your own (not necessarily through individual stock selection but through mutual funds, ETF's and other solutions) once you receive some one-time, professional guidance. Why pay annual fees when there may be little added value? For additional information, first read the "An Introduction" label at the left. Then move on to others.
Phil Bour is a CERTIFIED FINANCIAL PLANNER(tm) professional since 2004, a Magna Cum Laude college graduate and an accounting professional for over 35+ years. I love numbers, statistics and economic history.
I am also an Enrolled Agent (EA) to represent taxpayers before the Internal Revenue Service and to prepare tax returns.
"Phil"osophy: I believe that you can manage your money on your own (not necessarily through individual stock selection but through mutual funds, ETF's and other solutions) once you receive some one-time, professional guidance. Why pay annual fees when there may be little added value? For additional information, first read the "An Introduction" label at the left. Then move on to others.