No time to deal with all of this point by point, but let's just focus on trade 
this time around:

John G. wrote:
> >
> > > You'll note that I don't share several of your deep-seated 
> > assumptions, e.g.:
> > >
> > > - the US experience/system can be extrapolated abroad
> > >

And I responded:

> >I do not understand what this means.
> 

And John G. claimed:

> It means that your arguments are all predicated on your perception of 
> the US experience/system (go through them). In Europe and Asia, very 
> different systems are at play: The recent economic downturn 
> notwithstanding, the entire region is thriving on increased 
> international trade, and a more fluid job market (except bloody Denmark!).


And I further noted:

> >Trade is collapsing.

And John G. responded:

> Sorry?
> 
> Check out the big picture:
> 
> "For the 2000-2007 period, exports
> on average increased by 2.7 percentage
> points faster than real gross domestic
> product."
> http://www.wto.org/english/res_e/statis_e/its2008_e/its08_toc_e.htm
> 


No, John. YOU check out the big picture. Let's start with China:

http://www.ft.com/cms/s/0/19c25aea-f0f5-11dd-8790-0000779fd2ac.html?nclick_check=1

Hmmm, according to this, 20 million people in China have already lost their 
jobs in export-oriented industries, and have returned to their villages. Guess 
the writers at the Financial Times did not get your memo about how Europe and 
Asia are thriving on increased trade. Or perhaps you do not know what you are 
talking about?

And here is another article providing more evidence, from international trade 
between Europe and East Asia. 

http://www.istockanalyst.com/article/viewarticle/articleid/2963097

I could easily paste another dozen articles like this if I had the time. The 
press has been full of this stuff for months now, John. This is what is 
happening right now, and it is global in scope. Alan Beattie of the Financial 
Times was just on "Washington Journal" on C-SPAN last week going over the grim 
picture. and he said more or less the same thing I did, namely "Trade is 
collapsing", in a way that just does not ordinarily happen even in a "worldwide 
recession", to use Alan's misnomer for what is occurring now.

Sorry, but citing stats from 2000-2007 just misses the point. Things are coming 
unwound, right here, right now. Just read the business page of your paper, 
John. It is all right there.

And once again, the real question is, what comes next?


John M.




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