Well, folks, that's it. According to the International Monetary Fund, the era of America will end in just five years when the economy of China becomes the most dominant player on the world stage. American politicians will tell us that we are still #1, economists will tell us where we went wrong, even though we already know what the problem is, and the percentage of Americans who pay no taxes won't care as long as they still get what society owes them.
We can already see cracks forming in the once respected U.S. dollar and U.S. treasuries markets, but when we slide to #2 behind China, the world economy and the world's international security system will have a very different landscape than what we all have known through our lifetime.
According to the IMF, whoever wins the Presidential election in 2012 will be the last U.S. President to preside over the largest economy in the world. How are most Americans handling the news? The way that we always do. Instead of buckling down, making real changes, and addressing the problem, most of us will put our heads in the sand and tell ourselves that it won't make a difference in our lives, and the so-called experts are going to fuel that view by saying that the IMF figures are inaccurate and that we have at least a decade until this is going to happen.
According to a MarketWatch article, "Under PPP, the Chinese economy will expand from $11.2 trillion this year to $19 trillion in 2016. Meanwhile the U.S. economy will rise from $15.2 trillion to $18.8 trillion. That would take America’s share of the world output down to 17.7%, the lowest in modern times. China’s would reach 18%, and is rising."
While this is just a prediction, all signs point to the fact that the U.S. economy will no longer be #1 within our lifetime. America took over as top economic power in the world in the 1890s and unless you're pushing 120 years old right now, you have lived in a time when our nation was the #1 power on the world stage. Imagine what the world will be like when this is not the case. While we may have our ills, we have led the world with the very best of intentions. Do you think that China will do the same?
也許是時候開始學中文
Monday, April 25, 2011
Monday, April 18, 2011
"Viva La Revolucion, Raul!"
To quote Fidel Castro when he made an unofficial appearance on The Simpsons, "It's full of what?!"
Communists, Fidel. Cuba's government is filled with communists. And that is why the nation is failing. It is why the Soviet Union failed and why all the communist block countries failed. China? Without China's capitalism, it would be failing also. But maybe, just maybe, Cuba's government will not be filled with communists much longer.
We all know there was no way Fidel could have gone back on his word and dismantled the Cuba's communist regime himself, but now that 79-year-old little brother Raul is the "President", things may be looking up for Cuba.
In an unprecedented step towards joining the modern world, Raul proposed term limits for "the current president of the Council of State and his ministers". That would mean no more 52 year-long, family-based ruling, and according to Raul, would be replaced by no more than two consecutive 5-year terms in office for everyone, including himself.
Raul is also proposing, based on suggestions he has received from the Cuban people, the eventual elimination of rationing, the decentralization of the economy, and reliance upon supply and demand to set prices in some areas. The reforms stop short of people actually being able to own property, but this is a big step in the right direction.
Raul states that a lack of young Cubans interested in politics and carrying on the regime is also a prime reason behind the proposed changes. Most of the original Cuban communist revolutionaries are already deceased and none of the oppressed following generations of Cubans are wanting to step in to replace them. Raul says he will fix this through reform and a "systematic rejuvenation" of the Cuban government.
These reforms still need to be made law by the government, but political experts believe Raul will move quickly to ensure his reforms are put in place. Let's hope so.
Communists, Fidel. Cuba's government is filled with communists. And that is why the nation is failing. It is why the Soviet Union failed and why all the communist block countries failed. China? Without China's capitalism, it would be failing also. But maybe, just maybe, Cuba's government will not be filled with communists much longer.
We all know there was no way Fidel could have gone back on his word and dismantled the Cuba's communist regime himself, but now that 79-year-old little brother Raul is the "President", things may be looking up for Cuba.
In an unprecedented step towards joining the modern world, Raul proposed term limits for "the current president of the Council of State and his ministers". That would mean no more 52 year-long, family-based ruling, and according to Raul, would be replaced by no more than two consecutive 5-year terms in office for everyone, including himself.
Raul is also proposing, based on suggestions he has received from the Cuban people, the eventual elimination of rationing, the decentralization of the economy, and reliance upon supply and demand to set prices in some areas. The reforms stop short of people actually being able to own property, but this is a big step in the right direction.
Raul states that a lack of young Cubans interested in politics and carrying on the regime is also a prime reason behind the proposed changes. Most of the original Cuban communist revolutionaries are already deceased and none of the oppressed following generations of Cubans are wanting to step in to replace them. Raul says he will fix this through reform and a "systematic rejuvenation" of the Cuban government.
These reforms still need to be made law by the government, but political experts believe Raul will move quickly to ensure his reforms are put in place. Let's hope so.
Monday, April 4, 2011
Keep An Eye On Washington This Week...They're Talking About Your Money
This week, House Republicans are planning to introduce $4 trillion in federal spending cuts that would go into effect over the next decade. How nice to see a proposal that entails 10 years worth of cuts instead of ten years worth of increased spending. Republicans are getting the message. Let's hope the Democrats are not too far behind.
I saw a clip last night of Senate Majority Leader Harry Reid in which he was blaming the craziness of Republican proposed spending cuts on the Tea Party. What Harry Reid and his fellow Spendo-crats are failing to realize is that this is not just the sentiment of the Tea Party, but is the sentiment of the American Taxpayer who thinks it is time for our government to start spending less.
Our sitting President officially launched is re-election campaign for 2012 today. What you won't see in any of his campaign ads is that his budget numbers are so inaccurate that the politically-independent Congressional Budget Office say the President's deficit projections are over $2 trillion lower than they should be when looking at the next decade. Clearly, the Master & Commander is going to hit the campaign trail painting a more rosy picture of our future than actually exists.
The Republican spending cut proposal also comes with strict spending caps in select areas. With the government looking to once again change the law to allow even more deficit spending by raising the legally-allowed debt ceiling to rise once again, it is time for the American taxpayer to take a stand. "We are going to put out a plan that gets our debt on a downward trajectory and gets us to a point of giving our next generation a debt-free nation," said Republican House Representative and Budget Committee Chairman from Wisconsin Paul Ryan.
With the current budget extension bill expiring this week, Republicans and Democrats need to come together quickly to prevent a government shutdown. There is going to be all sorts of wrangling back and forth on what should be cut and what should be left alone. Each side believes that certain spending should be immune from cuts and certain spending is ready for the chopping block. Finding a consensus on what will be cut and what will be protected will not be an easy process.
Be sure to keep an eye on Washington this week. They are going to spend quite a bit of time talking about your money, how they are going to spend it, and how much more debt they are looking to put on your shoulders.
I saw a clip last night of Senate Majority Leader Harry Reid in which he was blaming the craziness of Republican proposed spending cuts on the Tea Party. What Harry Reid and his fellow Spendo-crats are failing to realize is that this is not just the sentiment of the Tea Party, but is the sentiment of the American Taxpayer who thinks it is time for our government to start spending less.
Our sitting President officially launched is re-election campaign for 2012 today. What you won't see in any of his campaign ads is that his budget numbers are so inaccurate that the politically-independent Congressional Budget Office say the President's deficit projections are over $2 trillion lower than they should be when looking at the next decade. Clearly, the Master & Commander is going to hit the campaign trail painting a more rosy picture of our future than actually exists.
The Republican spending cut proposal also comes with strict spending caps in select areas. With the government looking to once again change the law to allow even more deficit spending by raising the legally-allowed debt ceiling to rise once again, it is time for the American taxpayer to take a stand. "We are going to put out a plan that gets our debt on a downward trajectory and gets us to a point of giving our next generation a debt-free nation," said Republican House Representative and Budget Committee Chairman from Wisconsin Paul Ryan.
With the current budget extension bill expiring this week, Republicans and Democrats need to come together quickly to prevent a government shutdown. There is going to be all sorts of wrangling back and forth on what should be cut and what should be left alone. Each side believes that certain spending should be immune from cuts and certain spending is ready for the chopping block. Finding a consensus on what will be cut and what will be protected will not be an easy process.
Be sure to keep an eye on Washington this week. They are going to spend quite a bit of time talking about your money, how they are going to spend it, and how much more debt they are looking to put on your shoulders.
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