Homestead mailing list

[Clansgian AT wmconnect.com]

> A 
> nation is not likely to hurt another nation that is buying its products or 
> services or supplying vital products or services.
> 

Here's what I see as the breakdown of that:  The global economy is in a state 
of flux and we of the USA are cashing in on the flux.  What I mean is this:  
in local politics what I hear is 'growth, growth, growth!'   Heard that 40 
years ago too.  Thing is, it never got the local economy anywhere because the 
economy was based on getting bigger every year, not on stability.  Some day, 
some 
time, somewhere, the limit is reached.  No more room to annex, no faster 
production of natural resources, etc.  Then an economic philosophy based on 
continual growth, continually gettting bigger, must needs collapse.

Right now the Chinese thing works because they are still willing to accept 
very low return on their labor and are willing to exchange the money for US 
debt.  That's why things from China cost so little they are all but free.  As 
their standard of living rises, they demand more of the world's resources 
(and 
rightly so) which will eventually limit our ability to buy their goods.  Also 
when every filing cabinet in the Chinese government is stuffed full of our 
treasury notes and other instruments of debt, what will we exchange then for 
their 
goods??

We are living now off the flux and transition of the global economy.  That's 
the thing about craving growth (ie change), it will eventually land you 
somewhere you'd rather not be.