Great post Mr Kimes. Though it is tough for me to see the end of the oil age John. Given the reallocation of resources as oil diminishes including: coal, nat gas, uranium and further oil discoveries, it may be that oil stays longer than we think?
One thing appears to be sure. The electric car is here to stay. As cheap oil pushes electric to become more efficient, the means of production for electric should get reduced as well. Electric production will probably be efficient within 5 years. I would like to see the toxic waste of an electric car dealt with too!!
Right now, for way too many families, the electric just does NOT work. BUT, i for one, will miss GREATLY the sound of a GM small block at full wail...................gears popping and shifting in perfect synch with the monstrosity under the hood. Love the current GM lineup and it just gets better every year. Keep up the work GM! Take noting for granted.
(( Hmmm...I just quoted your 4-line comment about jobs and you "say you didn't mention jobs...whatever. How can you LIE so obviously and blatantly? Do you have a straight face right now? How?"))
you mentioned currency not jobs in your copy. It does appear that I am tying jobs to currency in my note. I wasn't. It did appear that way however. They are correlated and they matter a great deal.......but jobs are ably protected by many other means than currency (again see Japan, Germany and China).
time for sleep, cheers all
I didn't mention jobs, you did. Job creation is is not tied to any strict correlation regarding currency. Japan is a perfect example of this. So too is Germany. But certainly if a weak currency creates no jobs, a country is truly getting a double whammy (think the States in 2008)! Subsidy and protectionism, cultural and otherwise, are greater factors in jobs. Free currency, however, is IMPERATIVE in providing a transparent marketplace.
Japan has asked for help in addressing counterfeit goods. According to CNBC, entire counterfeit Japanese automobiles and appliances are being produced in China and sold in India and the Mid East. China denies knowledge of this and India and the Mid East will not cooperate.
Is it not possible that we need to understand EXACTLY who we trade with and their motivations? If this story wasn't so appalling, it would be funny. And how exactly do two huge countries, both both devout exporters and mercantiists (as relates to the States certainly), hope to resolve this issue???
Clearly counterfeiting is wrong. But so too it is wrong that China subsidizes fuel to their export industry and Japan engages in periodic devaluations of their currency. Foreign currency subsidies (and other subsidies) cost hundreds of thousands of American jobs. For sure.
Terrific note. Just terrific. I would like to see ACA work. Not because I am any great fan of one solution or another. I simply find abhorrent and unsustainable the present day spend rate. Solutions, not drama. That being said, it is off to a horrific start. It may not get the demographics to work in its favor unless solution are found....and quick. If it does not work, end it and try again later. Significant progress (as measured by plan purchases from an arrayed demographic needed for the the plan to succeed and not by total numbers) in 6 months and further success in two years (with the same metric!) or adios.
Along the lines of Maguro's above points, should one forget, a small reminder may be in order. Less than one month before Mr Bush took office, it would cost the average American just over 82 cents to buy 1.0 Euro. By springtime of Mr Bush's last year in office, it cost the average American $1.60 to buy 1.0 Euro. The sIngle currency had risen by over 90% to our dollar! A stunning amount. Every major currency had risen significantly. While rdh may be happy to own gold under Mr Obama, he must have been ecstatic under Mr Bush. Gold rose close to 300% under Mr Bush (and a mere 50% under Mr Obama) And of course manufacturing jobs fell every single quarter under Mr Bush's Presidency.
One more thing. From the advent of our Federal Reserve's QE program of Sep 2012, the United States created ZERO (actually maybe around +4,000) manufacturing jobs through September 2013. ZERO! Those jobs are simply being created elsewhere through a short sighted (or no sighted), toothless trade policy. We offshore our wealth and tax base.............STILL.
That is too funny. Didn't even know that. Their issues became so transparent. Like the story. Have a good eve dinero and all.
American trade policy has languished for the better part of twenty years. The General Agreement on Tariffs and Trade (GATT) was a great step forward for world growth, especially the Uruguay round in the late 1980's. In my opinion, that round is a largely responsible for a great portion of growth in the world market this past generation. World GDP has risen considerably since the advent of these agreements. The changes in China, Korea, Mexico, Brazil, SouthAfrica, India are simply amazing since the Uruguay Round. The agreement of 1987 also created GATT's successor organization, the WTO.
In the preamble to the agreement, GATT sets goals as, "substantial reduction of tariffs and OTHER trade barriers and the elimination of preferences on a RECIPROCAL and MUTUALLY ADVANTAGEOUS basis."
I have posted before, the WTO, is ineffectual. There has been little and no enforcement of trade agreements. Current negotiations, the never ending DOHA round, have been taking place since 2001. There is no part of the above preamble that is not being breached by the countries with whom the United States runs trade deficits.
If one would like to see what free trade SHOULD look like, simply take a look at the relationships we have with our friends to the North and South, Mexico and Canada.
If one would like to see trade dysfunction, simply look at the trillions of dollars dollars of wealth sent abroad to countries (germany must be included here) who, for a generation, have engaged in "other trade barriers", "no reciprocity" and "disadvantageous trade".
500 BILLION......every year in deficits, the vast majority of which is to the same old culprits, Germany, Japan, S. Korea and always China. Most of those countries are also countries we protect. They are our great friends. But friends DO NOT treat friends like this. Enough. Our economy, our young men and women, our manufacturing base, our tax base all deserve better.
Hope all have a good weekend. Cheers
Regarding currency. Bunkferd is correct. The chinese have the wherewithal to effect a change. It is simple. The change is simple, Float the Chinese currency!! Do the Chinese REALLY want to float their managed currency? NO. But it sure is fun to talk about isn't it? There political statements are a cover for the continued drain on United States assets. The LAST thing the Chines authorities want is a free floating, deliverable currency.
Why don't the Chinese authorities (and walmart) want to float their currency? Well, imagine how difficult it would be to export with a currency that is 30-50 % more dear. Now add protection for US corporations against copyright infringement and patent infringement (not to mention multiple thousand factories in china making counterfeit goods). Can you imagine the hand wringing at the centralized planning agency within China?! Mind you, it is not the pernicious US that would make the chinese currency go up in value. 300 billion in trade surpluses, for a decade, will do the trick nicely.
China is not alone. Below is a PARTIAL list of countries whose central banks intervene on a DAILY basis to control or weaken their currency in order to produce trade surpluses with the US. We must solve issues and not be sidetracked by partisan politics. We are not the devil....not in the slightest. We need young American women and men with well paying jobs and paying taxes. Competition is great! So let's compete.
based upon your frequent blurbs in the ridiculous gay bashing posts and now this, it appears as if you, billions of barrels, have a problem with girls/women? perhaps maguro the writer enjoys maguro the adjective? and you enjoy..............whatever................
Great win for the Tigers. For a Tigers fan, it would have been nice to be able to throw Verlander in game one against Boston! They'll have to do it with some hitting next series and imho, I think they will hit.
don't confuse him with the facts jeye. however, web (or whoever he is now) is correct in saying that gm has enormous pension liabilities. the playing field is simply not level for our exporters and industrial companies at the moment.
the japanese must open their markets and reduce our trade imbalances to zero or we must tariff their exports to us. It is only a matter of time and long overdue.
Over the long term, currency manipulation will never solve real issues.
you are correct, they have NOT done enough yen selling. Over 8 trillion in Japanese debt!!! This is despite having an export economy providing 50 percent of gdp!
They had better get the yen lower and quick. It is the only thing propping up this half baked closed economy. japanese auto sales are falling.
Better get some more Korean won selling too. Discounts on the hyundai garbage are getting ridiculous. $15,000 off an equus, $8,000 off a genesis. Even $4000 off the elantra!!!! And still sales at hyundai fall 8 percent. Better sell some more Won friend!!!!!!!!!!!!!!! Quickly. (it wont help)
oh.....and look....another up day! Who'd a thunk it? NOT kyle bass............................
And one week from today, oct 17, 2013, we will all stop problem solving and the world will end as we know it???
Funny, I am long. Couldn't be happier
think maybe you and kyle bass had one too many of your bags of nickels whop you over the head...........!
There are LOTS of real problems. LOTS to be frightened of all the time. Things could even get very bad, in a hurry. It happens. It takes hard WORK to solve these things. Now leave that to the adults and the little boys like you can run home to mommy.......
You may have your opinion of Obama. That's is your right, of course.
The poster is not even American, he is a paid troll. Dimes to dollars. You can't see that? He posts inflammatory bilge to divert attention. PERIOD. NOT American.
As far as invoking our soldier's names while twice suggesting at our Presidents' death????
You try to defend that??? I suck??? You had better take a look at yourself. You are right there with him. on with my eve.........