> Hello everyone,
>
> Mike Cohen Saturday Sept 19,98 writes:
> "On the other hand, rates can be lowered and in this case I think the
> boom will continue. Despite Propaganda on globalization, the European
> and American economies are largely self--contained, more so than before
> WWII. A panic in SE Asia and Russia doesn't mean a panic here."
Thanks for the reminder Doyle. What you are saying is that Unilateral Lowering of interest rates would lead to a Capital Flight from the US effectively raising rates in the long term and shutting down industry. Its possible but I don't see this happening yet, mainly because I don't see business opportunities in Europe being so much stronger than the US.
How much of the US government debt is own by foreign holders? How is this distributed around the world? The answer to this question would give more a clue as to the possiblities for future disaster. -- Michael Cohen mike at cns.bu.edu Work: 677 Beacon, Street, Rm313 Boston, Mass 02115 Home: 25 Stearns Rd, #3 Brookline, Mass 02146 Tel-Work: 617-353-9484 Tel-Home:617-734-8828 Tel-FAX:617-353-7755