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- As Dan Kurz of DK Analytics points out, the federal government would have a difficult time even paying the interest on the debt in a “normalized” interest rate environment. http://bit.ly/2imzvbt http://bit.ly/2k7GtkT
- Securing Better Money Through Currency Competition
- Discussion forum: The Continuing Relevance of Anthony de Jasay | by Christopher J. Coyne (Sept. 3, 2015)
- Chris Martenson of http://bit.ly/2qZEIV8 called the current US and global financial system "deeply unfair." http://bit.ly/2pk1Jpt
- China, as well as other countries including Russia, desperately want to reduce their dependence on the dollar. http://bit.ly/2y4vbEo
- Science Isn’t Broken. It’s just a hell of a lot harder than we give it credit for. | by Christie Aschwanden. "..headlines that read 'weak, unreplicated study finds tenuous link between certain vegetables and cancer risk' don’t fly off the newsstands.."
- I spent a lot of time watching coverage on CNBC as the market plummeted. Everybody acted shocked. If they had listened to my podcast last week, they wouldn’t have been surprised. They would have expected it. http://bit.ly/2BeVwQz
- Top Economists Are Backing Sen. Bernie Sanders on Establishing a $15 an Hour Minimum Wage
- We can expect the same brand of interventionist monetary policy to continue into the future. http://bit.ly/2ztPo6T
- Why Are Republicans So Obsessed With the Gold Standard? - The Atlantic
Tuesday, September 8, 2015
Trade Deficit of the US vis a vis China/Japan...
I have always had difficulty understanding the mechanics of this phenomenon. Let me start with the following quote from wikipedia.. >Since the mid-1980s, the United States has had a growing deficit in tradeable goods, especially with Asian nations (China and Japan) which now hold large sums of U.S debt that has funded the consumption.[5][6] The U.S. has a trade surplus with nations such as Australia. The issue of trade deficits can be complex. To stupid old me, this is confusing. It paints the picture of the Chinese government buying treasuries (US debt) and giving the US government toasters. But governments don't exchange currency for toasters. Private merchants exchange currency for toasters. Can someone trace the mechanics of this "trade deficit" out so I can understand what's going on? How does the Chinese government end up with stockpiled dollars and the US government end up with citizens who have consumed a bunch of toasters without having to work so relatively hard for them?