- Smaller Trade Deficit
- Higher Employment
- Less Unemployment
- Less Outsourcing of Jobs Offshore
- Higher Gas Prices
- Fewer Cheap Tours to Europe
- More tourists in the USA
- Fewer Imported Cars
- More Caterpillar Tractors made Here
- Higher Grain Prices
- Wal-Mart's Edge softens
- Inflation will accelerate
- Standards of Living will get better
- Investment from Overseas will be greater
- Stock Market Higher
- Low Bond and Mortgage interest
- Freer Credit Markets
I'm not sure that is all a bad thing. I know Ron Mack reads this sometimes. He's a real economist as opposed to me, a pretend one. RON? Am I wrong? Are they?
1 comment:
I am sorry, Gene, but it is mostly bad news. The fall in the dollar means that America’s wealth has declined. For the past decade, Alan Greenspan pumped money into the economy diluting the value of the dollar. The resulting housing boom disguised the effect by making everyone feel better off, but that wealth was illusory and now the chickens are coming home to roost. You should be grateful to Walmart, because if it were not importing cheap Chinese goods, the pain of being poorer would have struck much soon.
The declining dollar may help Caterpillar and Chrysler a little, but the reality is that the Chinese are making better bulldozers all the time. They will soon be better at making cars than Americans. Detroit will never match them unless they are willing to work for twenty dollars an hour. The real incomes of American workers have declined over the last few years. I cannot see anything arresting that decline.
God is zealous for his Kingdom, so he will shake everything that stands in its way. America has become an obstacle to the Kingdom, so it will have to be shaken. Unfortunately most Americans will resist God’s shaking by trusting in government power and military force to overcome it. Sadly, the Christian Hannaniahs will encourage this resistance. It will be very painful.
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