The Week

[michael at ecst.csuchico.edu]

It may well be that boom in one location requires recession elsewhere.
Everyone cannot be a net exporter and booms now seem to be associated with
exports -- the exception being the US with the unsustainable wealth effect
-- which Doug questions.


> 
> Mark Jones wrote:
> 
> >It's the social-democrats of Euroland who have the
> >restructuration problems now, not the self-satisfied Brits.
> 
> Yes, which is one reason why I question your disaster scenarios. Say 
> euroland is restructured along Anglo-American lines - why couldn't 
> the E-11 have a boom too? A polarizing, manic, diseased boom perhaps, 
> but still a boom? Why does the fact that so much of the world would 
> still be excluded from this boom make it unsustainable, at least over 
> the term of 10-20 years?
> 
> Doug
> 

-- 
Michael Perelman
Economics Department
California State University
Chico, CA 95929

Tel. 530-898-5321
E-Mail michael at ecst.csuchico.edu