Posted on 03/19/2006 2:10:39 PM PST by AZRepublican
The United States must borrow more than $2 billion per day from foreigners to finance its huge trade deficits. In 2005, for example, there was a record deficit of $805 billion in the current account, the broadest measure of trade.
Foreigners sell their televisions, cars and oil to Americans and hold dollars in return. Those dollars are invested in stocks, bonds and other assets, including real estate and factories.
Foreigners already own half of the U.S. government's publicly traded debt. As of January, some $2.19 trillion in Treasury securities were in the hands of central banks, including China and Japan, and private investors abroad.
At the end of 2004, the total foreign direct investment in this country — actual factories, office buildings and other tangible assets as opposed to stocks and bonds — came to $1.53 trillion, 8.2 percent more than in 2003.
That investment shows up in all of the 50 states.
In Oakland, Maine, it's a customer service center for T-Mobile USA Inc., which is a subsidiary of German-based Deutsche Telekom. In Glendale, Calif., it's the U.S. headquarters for Nestle, the Swiss-based food and beverage company.
Arab investment has gotten the most scrutiny of late because of the now-withdrawn bid by a Dubai-based company to buy operations at six major U.S. ports. But statistics show that Arab investments represent only a a fraction of the total direct investment in the U.S. by foreigners.
European nations accounted for $977 billion, or two-thirds, of the $1.53 trillion of foreign direct investment, according to figures compiled by the Commerce Department.
By contrast, Arab countries in the Middle East accounted for $9.3 billion, led by $4.7 billion in investment from Saudi Arabia. The United Arab Emirates was second among Middle East Arab countries with $1.8 billion in investments, according to the data.
(Excerpt) Read more at foxnews.com ...
Why don't Americans do this same thing by moving to higher capital areas?
Just what would be the purpose of selling BLM lands to the citizens? What do you expect to result from this?
Right now we are under a storm trooper attack against the small farmer and the small rancher. The people that buy these lands are going to make a living in what trades, what industries? Lumbering perhaps? Sorry that trade is done for also.
I am interested in your answer.
Indeed.
That same American intuition and passion continues to make our economy the envy of the world.
I have never seen anything but recessions reduce trade deficits.
Many years ago when I worked for a Large Computer Company, we were selling computers to Japan, but due to regulations, these (about $100,000,000/year) did not count against the trade deficit. By not counting them against the deficit, the Japanese allowed some American apples (the fruit, not the computer) to be sold in Japan.
Most certainly a seller would not get top dollars under the fire sale, however, the details of the sale have not been released and no buyer identified. Potential buyers are private equity firms such as Carlyle and Blackstone but they are apprehensive because of the level of scrutiny this transaction will bring. Where are you obtaining the evidence that the US Government covered difference between the marker versus "fire" sale price?
When you look at the things immigrants, legal and illegal receive when they come to America it is easy to see why they come here.
Medical care is one of these things. Do you know what has been happening to our medical care in the past decade? It has been collapsing that's what. Why? Because of the law that states that everyone is entitled to free emergency medical care. The rising costs of emergency care to illegal aliens is bankrupting hospitals nationwide!
Tell me what other countries offer such benefits.
"And it would take many, many years "
That is the problem, our overall plan and economy only looks at what can happen for the next short term profit report , or next election cycle to see if viable.
If it took a decade to put men on the moon, we could replace all liquid fuels with hydrogen using nuclear power to distill sea water if there was a will and a 10 year or longer plan too, tax breaks for corporations who go along, and citizens . We are spending more money and time in the middle east for the same ends, we could convert to hydrogen at a fraction of the cost that is now spent for guarding tankers to ship past Iran, and the economy in turn would benefit,
Its really a winning proposition, but agreed the problem cant be done on a quarterly basis which is the essence of how our economy works, there would have to be governmental leadership, as well as irrigation in the desert for food using the power, its all solvable, this is not a technical problem but a bureaucratic one.
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