Financial Crisis

[Naam]

WASHINGTON (Reuters) - The World Bank's new chief economist on Tuesday urged Group of 20 finance leaders to better coordinate economic policies in order to prevent a possible global currency war.

http://finance.yahoo.com/news/world-bank-chief-economist-calls-062022417.html

the G20 is not aware that a currency war is in full swing?

[midas]

Robots may bring factory jobs back to the US for engineers, managers, financial types etc. and require a lot of retraining of the unskilled into different jobs because their old jobs won't come back.

http://www.cbsnews.c...h/?id=50138922n

doctors miss early stage lung cancer diagnoses about half the time. Watson, on the other hand, is able to get the right diagnosis on these same cases 90% of the time.

http://www.extremetech.com/extreme/148220-ibm-makes-watson-the-size-of-a-pizza-box-starts-offering-cloud-access-to-doctors

[Lopburi99]

“It’s an accurate statement that our current spending will not be increasing the debt… We’ve stopped spending money that we don’t have.”

-- Jack Lew, then director of the Office of Management and Budget, in Feb. 16, 2011 testimony before the Senate Budget Committee.

And this man is Obama's choice for Geithner's successor as Treasury Secretary?

Edited February 16, 2013 by Lopburi99

[midas]

what Professor Noam Chomsky says is completely irrelevant because it does not put food on my table, does not pay my utility bills and i can't peddle his words for portwine and habanas.

Then perhaps just based on revelations and trends just over the past few weeks you should be more concerned about what is in the food you put on your table?

food fraud, and classic corruption by the FDA ... You know, the agency that:

• Allowed arsenic to be added to chicken feed throughout the U.S. for more than 65 years under the false theory that it would be "excreted" by the chickens before it could accumulate in the chicken meat
  

• Declared fish from Fukushima a-okay after radiation was spewed into the ocean
  

• Allows animal blood to be fed to other animals ... which can spread disease like mad cow
  

It is the same type of collusion between government and big business which has caused

the financial crisis, the Fukushima nuclear meltdown, the Gulf oil spill and other major disasters

Given that genetically engineered foods have been linked to

obesity, cancer, liver failure, infertility and all sorts of other diseases (brief videos

and

), the burden should be on the … gmo producers to prove it’s safe.

https://www.commondr...ew/2013/02/11-4

Edited February 16, 2013 by midas

[Naam]

Then perhaps just based on revelations and trends just over the past few weeks you should be more concerned about what is in the food you put on your table?

i am not concerned because, unlike you, i don't have a kitchen with an attached lab for testing. so i eat with a good appetite what is put on the table.

[hopdafru]

After reading another thread about building projects in Chiang Mai, and seeing billions being poured here in Laos (and elsewhere), I am wondering:

Could it be that all these trillion US$ sitting in china and elsewhere are being 'dumped' onto various investments in Asia/Africa (including Thailand) as trust in USD is falling?

just wondering... thoughts?

[GAS]

Without a doubt hopdafru.....

[hopdafru]

Without a doubt hopdafru.....

Then it means that the next destination for these USD is the US which will be the only place where they will be exchangeable for something, which in turn means massive inflow of cash on the northamerican territory...

I can't imagine the USD not falling steeply in this scenario, in which case, which currencie(s) do you think will serve as backup/replacement? (EUR, CNY, YEN, Bancor, combination, other?)

I'm thinking/hoping the EUR will remain relatively stable, and as stated before I don't buy into the absolute necessity to carry (physical) gold... (btw heard recently they found a huge mine in south africa with enormous gold reserve)

[Naam]

Then it means that the next destination for these USD is the US which will be the only place where they will be exchangeable for something, which in turn means massive inflow of cash on the northamerican territory...

no wild assumptions please... no matter how interesting they might sound

[hopdafru]

Then it means that the next destination for these USD is the US which will be the only place where they will be exchangeable for something, which in turn means massive inflow of cash on the northamerican territory...

no wild assumptions please... no matter how interesting they might sound

Then where do you suggest these dollars go next? (assuming they leave chinese et Al coffers to Asia/SEA/Africa ie they are on the market again vs foreign currency reserve)

of course I'm making assumptions / wondering what the next step is, but one thing I am sure is a lot of dollars are being spent right now (100's of Billions, USD not CNY) on various projects: dams, roads, train/various infrastructure, habitat, businesses et Al in 3rd world countries.

Wild? I'm really not so sure... once back on the market (a few trillion $ over a few years - say 5 and we're already, say, 1/4 the way), what is the effect versus other floating currencies (and local 3rd world inflation) and where does the money flow next? I really doubt it stays stuck there nor it's value (not) deflated...

Edited February 18, 2013 by hopdafru

[Naam]

Then where do you suggest these dollars go next?

they can go anywhere instead of causing a "massive inflow of cash on the northamerican territory...". China gives huge amounts of USD in form of loans which are either paid back in USD or by delivery of commodities which trade in USD such as crude oil. excellent examples are the billions which have been flowing to Venezuela and Angola.

but one thing I am sure is a lot of dollars are being spent right now (100's of Billions, USD not CNY) on various projects: dams, roads, train/various infrastructure, habitat, businesses et Al in 3rd world countries.

i don't deny that a lot of dollars (not necessarily hundreds [plural] of billions) are flowing into projects outside China plus of course are used to pay for imports of commodities. however, these expenses are not only matched but surpassed by the flow into China's coffers. evidence are the growing Chinese reserves.

[churchill]

After reading another thread about building projects in Chiang Mai, and seeing billions being poured here in Laos (and elsewhere), I am wondering:

Could it be that all these trillion US$ sitting in china and elsewhere are being 'dumped' onto various investments in Asia/Africa (including Thailand) as trust in USD is falling?

just wondering... thoughts?

Probably correct ... There is a lot a Russian and Chinese money looking for a home ... and better thailand with a 'strong' currency than japan . euro gbp or usd with weakening currencies .. at least they are trying ...

[Naam]

Could it be that all these trillion US$ sitting in china and elsewhere are being 'dumped' onto various investments in Asia/Africa (including Thailand) as trust in USD is falling?

"dumped" is another wild assumption without any basis. the Chinese are well known for their business acumen and patient long range outlook. what they are doing is nothing else than securing their future supply of essential commodities as much as possible focussing on energy and food stuff.

[ronz28]

Droids are taking our current jobs contributing to the financial crisis now but we are freed up to do other things

http://www.ted.com/t...g_our_jobs.html

[hopdafru]

Could it be that all these trillion US$ sitting in china and elsewhere are being 'dumped' onto various investments in Asia/Africa (including Thailand) as trust in USD is falling?

"dumped" is another wild assumption without any basis. the Chinese are well known for their business acumen and patient long range outlook. what they are doing is nothing else than securing their future supply of essential commodities as much as possible focussing on energy and food stuff.

Agreed... "poured" would've been a better choice of vocabulary. I guess it's the pace at which money is being spent (and some projects being validated, with sometimes very little due process) that influenced me in using the term 'dumped.'

I'm really surprised at how fast some ideas get funded and heavy work starts these days. Has this always been going on at such large scale? (especially in the area - SEA)

[midas]

"Too Big to Fail has become Too Big for Trial"

Edited February 20, 2013 by midas

[Wrong Turn]

I have a question related to the Bank of Japan devaluing the Yen.

Any comments or opinions on this?

[yoshiwara]

I have a question related to the Bank of Japan devaluing the Yen.

Any comments or opinions on this?

Yes. They haven't.

[Naam]

I have a question related to the Bank of Japan devaluing the Yen.

Any comments or opinions on this?

Yes. They haven't.

bingo!

[churchill]

Just saw this from BOE ...

News Release - People’s Bank of China swap line

http://www.bankofengland.co.uk/publications/Pages/news/2013/033.aspx

' Even if the swap remained unused, its existence would help reassure those banks that do not have easy access to renminbi to do more business in the Chinese currency. Other countries have already got in on the act: at the end of 2012, the PBOC had swap facilities worth 1.3 trillion yuan ($210 billion) with 14 countries or regions. Chris Salmon, a BoE executive director, said on Jan. 24 that the central bank was ready “in principle” to set up a swap.'

http://mobile.breakingviews.com/storypage/story.aspx?id=21064984

and this from last week . ... SF seeks to be hub for Chinese currency

Read more: http://www.sfgate.com/business/bottomline/article/SF-seeks-to-be-hub-for-Chinese-currency-4284909.php#ixzz2LcNSTLQR

not sure where it leads but perhaps indicates less future reliance on USD .....

Renminbi Relentlessly Replacing U.S. Dollar As Global Reserve Currency

http://etfdailynews.com/2012/11/05/renminbi-relentlessly-replacing-u-s-dollar-as-global-reserve-currency/

Edited February 22, 2013 by churchill

[Naam]

...at the end of 2012, the PBOC had swap facilities worth 1.3 trillion yuan ($210 billion) with 14 countries or regions.

Renminbi Relentlessly Replacing U.S. Dollar As Global Reserve Currency

correct, but a long way to go. 210 billion dollars is peanuts (equivalent to 6 weeks of Chinese imports).

[churchill]

...at the end of 2012, the PBOC had swap facilities worth 1.3 trillion yuan ($210 billion) with 14 countries or regions.

Renminbi Relentlessly Replacing U.S. Dollar As Global Reserve Currency

correct, but a long way to go. 210 billion dollars is peanuts (equivalent to 6 weeks of Chinese imports).

but Perhaps sooner than you think ..... a few months back you thought about 20 years ....

and Robin .. ?

[Naam]

...at the end of 2012, the PBOC had swap facilities worth 1.3 trillion yuan ($210 billion) with 14 countries or regions.

Renminbi Relentlessly Replacing U.S. Dollar As Global Reserve Currency

correct, but a long way to go. 210 billion dollars is peanuts (equivalent to 6 weeks of Chinese imports).

but Perhaps sooner than you think ..... a few months back you thought about 20 years ....

and Robin .. ?

i am still thinking of 20 or even more years till the Dollar might be replaced by another currency as "reserve currency". and the "other" currency might not be CNY.

[churchill]

...at the end of 2012, the PBOC had swap facilities worth 1.3 trillion yuan ($210 billion) with 14 countries or regions.

Renminbi Relentlessly Replacing U.S. Dollar As Global Reserve Currency

correct, but a long way to go. 210 billion dollars is peanuts (equivalent to 6 weeks of Chinese imports).

but Perhaps sooner than you think ..... a few months back you thought about 20 years ....

and Robin .. ?

i am still thinking of 20 or even more years till the Dollar might be replaced by another currency as "reserve currency". and the "other" currency might not be CNY.

The Euro ...perhaps if it survives and expands ...

Panic-driven austerity in the Eurozone and its implications

http://www.voxeu.org/article/panic-driven-austerity-eurozone-and-its-implications

[Naam]

or perhaps the Scottish Pound?

[churchill]

or perhaps the Scottish Pound?

No Naam not Scottish ... 'and the "other" currency might not be CNY.'

You mean GBP .... YES !!!

[Naam]

or perhaps the Scottish Pound?

No Naam not Scottish ... 'and the "other" currency might not be CNY.'

You mean GBP .... YES !!!

backed by a reasonable quantity of full english () breakfasts?

[manarak]

I have a question related to the Bank of Japan devaluing the Yen.

Any comments or opinions on this?

what kind of opinions do you expect?

[midas]

Me thinks these people couldn't predict their way out of a paper bag

" The euro zone will not return to growth until 2014, the European Commission said on Friday, reversing its prediction for an end to recession this year and blaming a lack of bank lending and record joblessness for delaying the recovery."

http://www.reuters.com/article/2013/02/22/us-europe-economy-eurozone-idUSBRE91L0B620130222

Edited February 23, 2013 by midas

[Naam]

I have a question related to the Bank of Japan devaluing the Yen.

Any comments or opinions on this?

what kind of opinions do you expect?

that the bank of Japan hasn't done anything (yet) but the Right Honourable Shinzo Abe's talk has had an impact on JP¥ exchange rate.