Jeff Dantzler wrote:

Interesting comments by a former Fed chairman:

NewsMax.com Wires
Friday, June 10, 2005

"Former Fed Chairman Paul Volcker said he doesn't see how the U.S.
can keep borrowing and consuming while letting foreign countries do
all the producing.

It's a recipe for American economic disaster.

On Thursday the Wall Street Journal reported bluntly that
"Mr. Volcker thinks a crisis is likely."

[snip]"

Rest of article he

http://www.newsmax.com/archives/arti...9/161923.shtml

JLD

I believe the theory here is that the US is supposed to be producing and
exporting "intellectual property" with value that will offset the value
of the "hard goods" we import. Unfortunately this is not working since
we are also exporting our capacity to generate "IP" with all of the
overseas outsourcing, and we don't have an exclusive on the capacity to
produce "IP" to begin with.

What we'll end up with is a bunch of lawyers feeding off of each other
in the downward spiral as we end up with no capacity to produce anything
for ourselves and consequently no money to import what we need. We'll
end up rather like the undeveloped parts of the world are now.

Pete C.