RE:America will attack if its currency is attacked
by sajansajan on Dec 19, 2007 12:33 AM Permalink
Many of the comments here are really stupid. Whether you want to accept it or not USA runs the world. The mighty dollar buys the cheap Chinese goods and cheap Indian programmers/call center operators.
A decline in dollar economy can only mean one thing doom for Chinese manufacturing and Indian Services industry. Dont forget that today's "Shining India" lives in just 12-20 cities while the farmers are committing suicides from Punjab to Andhra and Gujrat to Orissa as rural economy is down the drain (which means 60% of Indian economy is in shambles). The 12-20 cities that are part of "Shining India " are run by money coming from US and FII's. So if US consumer catches cold, Indian/Chinese urban class will die of pneumonia.
RE:America will attack if its currency is attacked
by Satya on Dec 19, 2007 01:07 AM Permalink
I do not agree with such analysis. There were countries and economies before US and there will be economies after US as superpower. And this kind of growth through external currency is showing signs of what you just said. Only few people benefit. So the focus should shift from export oriented to local growth as well.
And more over this problem was not created by any of these countries. It was created by US itself by indulging in printing as much $ as possible because it can. Otherwise there was no reason for these countries to pile up on their forex. And there is no problem in US. They would still insist on printing more dollars to solve its credit crisis and sub-prime crisis.
