On Thu, Jun 19, 2008 at 12:53 PM, Charles Brown
<[EMAIL PROTECTED]> wrote:
>  Also, as is often mentioned in this discussion, there is more
> investment in the US from other countries exporting capital than being
> exported from the US. This follows the logic from the standpoint of the
> other countries having their domestic markets saturated.  All though I
> sense a contradiction in that how come the US is not too saturated for
> the foreign companies to invest here profitably ?


Good question. I think the answer is that the US *is* indeed just as
saturated as the rest of the world (isn't that another way of saying
there is an excess of Capital?). For a long time it seemed more
profitable because of Alan Greenspan's massive credit bubbles.

Of course this only speaks to the average overall profitability across
sectors. The US remains an attractive investment destination in many
individual sectors such as biotech, software etc because of
infrastructure and manpower reasons. Apparently these sectors were too
small to absorb all excess capital, so a lot of it ended up in houses,
food, oil, commodities etc.
-raghu.

-- 
 Q: What did the apple say to the orange?
 A: Nothing, apples don't talk.
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