Quote from A_B:
Russian indexes today:
RTS +20%
MICEX +25%
Is it collapse? ))
No.
Collapse is coming closer to home.
http://fabiusmaximus.wordpress.com/2008/08/18/roubini/
18 August 2008
Prof Nouriel Roubini describes âThe Decline of the American Empireâ
The hot dots in economics today are, in my opinion, David Rosenberg and Nouriel Roubini. Roubini is a professor of economics at NYU, noted expert in international finance, and founder of RGE Monitor(a aggregator of economics and finance articles, invaluable for anyone in those fields).
His forecasts are grim reading (by comparison with my longer-term views, he is a pollyanna). For a brief on his forecasts, see this interview in the current New York Times Magazine (15 August 2008)
In Roubiniâs latest report he comments on a subject familiar to readers of this site: âThe Decline of the American Empireâ, posted at RGE Monitor, 13 August 2008. Here are some excerpts; I recommend reading it in full.
...⦠All these changes in the economic, financial, reserve currency and geopolitical role and relative power of the US will not occur overnight. But the trend is clear. The rise of the BRICs and other emerging market economies; the continuation of the process of economic and political integration in Europe; the US policy mistakes in economic, financial and foreign policies will steadily erode the power of the American Empire. This process will not be sudden and will take a couple of decades."
A couple of decades seems an overestimate to me. We shall see how many $T Uncle Sam added to natl. debt overnight with 'bailing out' WS to already pretty hefty $10T, with $50T+ unfunded entitlements. Titanic economy fundamentals are sound... and US workers fundamentals are sound - this is what we hear from near-decomposed future 'hero' decider... He wants to fight Russia over oil, having achieved decisive victories over cavemen in Afghanistan (and previously in Vietnam). Future never looked brighter...