[quote=Hobie]
Great perspective Sreeb. But without manufacturing what are our options? We n e e d manufactuing[/quote]
I don’t see how this can end well. I don’t see how we will able to muddle through either.
I think our governments current policy of ever higher deficit spending will crash the dollar (intentionally?) and help out with a massive devaluation but it will be really painful ($20/gallon gas?, everything in Walmart up by 5x?) The problem with that is that it implies high inflation without wage inflation resulting in a huge reduction in our standard of living. But we will be more competitive.
Or we can try massive protectionism? If congress can require you to buy health insurance, they can probably require you to buy a Buick, even if you don’t want one and didn’t intend to buy a car at all.
I expect to buy a lot less stuff in the future and I expect to be OK with that.
