Tuesday, June 22, 2010

Illusion of Decoupling and Consequences of Current Policy Decisions

We understand what’s been going on around the globe: the U.S., China, the Eurozone, Japan, and so on.

Can any country with export-driven economy decouple from this historic credit bubble bust?

What have politically motivated policy decisions such as bailouts, low interest rates, and QE done to the U.S. economy and any other country’s?

The math is real, yet how will the effects unwind on every level?

The broken system needs to be significantly reformed and restructured.

Moral elite leadership leading to constructive policy actions, fiscal sustainability, and social culture will make a country less susceptible to global forces and sovereign debt woes worldwide.

Any government should establish its policies in the best interest of its own people and failure to do so may result not only in lower standard of living but in a solvency crisis.

Solvency is a choice.

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