Read the editorial page in today's Wall Street Journal. Others far more knowledgable than I have already set Volcker straight. The poor chap has a lot of axes to grind.
> Paul, > > That's all right, then. Thanks for the reassurance. Be a good fellow and > tell Paul Volcker, though. Poor chap doesn't know very much about these > things, and he'll be glad for you to put him right. > > John > > On Tue, 19 Apr 2005 20:41:18 +0000, <[EMAIL PROTECTED]> wrote: > > > The US government won't run out of credit. Japan and China will continue > > to buy dollars because their economies are dependent on US consumers. > > The dollar will eventually gain strength as interest rates rise. It's > > cyclical. It's not a big deal. But gnash your teeth and wring your hands > > if you must. > > > > > >> John Forbes quoted and wrote: > >> > >> ' "Circumstances seem to me as dangerous and intractable as any I can > >> remember, and I can remember a lot." And: "As a nation we are > >> consuming and > >> investing about 6 percent more than we are producing." That was Paul > >> Volcker, former chairman of the Federal Reserve.' > >> > >> 'http://www.washingtonpost.com/wp-dyn/articles/A38725-2005Apr8.html' > >> > >> 'We'll do nothing now, but we'll remember these words in about five > >> years > >> time. 1929 will seem like a mild hiccup.' > >> > >> I thought I was the only one who felt uneasy about the current economic > >> situation in the US. The US government deficit spending / trade > >> imbalance > >> combination reminds me of a family where the old man is out of work and > >> they're living on credit cards. It works okay until the credit runs out > >> then > >> they're in a world of trouble. The US government will eventually run > >> out of > >> credit. The aftermath will not be pretty. > >> > >> Tom Reese > >> > >> > >> > > > > > > > > > > > > > > -- > Using Opera's revolutionary e-mail client: http://www.opera.com/m2/ > > > -- > No virus found in this outgoing message. > Checked by AVG Anti-Virus. > Version: 7.0.308 / Virus Database: 266.9.17 - Release Date: 19/04/2005 >
