Economy and that scary "R" word

[hooskins]

Originally Posted by Schneed10

Asian and Latin American countries don't have the underlying resources and skill sets to continue driving profit from investment. The United States is positioned strategically with natural resources and, despite growth in other nations, still contains the most highly skilled and educated workforce in the world. You're right, investment from overseas investors will not last long, but that is the case because American businesses will invest the cash in new products and markets successfully, driving profits up, driving tax revenues to the government up, driving the deficit down, and ultimately strengthening the dollar. The strengthening dollar is what will curtail overseas investment. That's the cycle that will take place in the US, not a downward spiraling cycle, but the typical business cycle we've observed over the past fourty to fifty years.

There's a reason that US government bonds yield the lowest return of all government bonds in the world. It's the most stable economy on Earth, and hence least risky to invest in.

And while we're mentioning academic credentials, BS in Finance/Economics with a minor in math, and an MBA in finance.

All good points about resources and skill sets, and clearly you know a bit more about this than I do lol. I was just stating my background just the older folk don't jump all over me not to undermine you.

And I agree with the last point as well, that is other nations keep buying our govt's bonds, t-bills, etc.