What the hell????Throwing money after money after money…

[Hobie]

[quote=sreeb][quote=SK in CV][quote=briansd1]
If we don’t find something else to manufacture that we, or the rest of the world wants, we’re in deep trouble. (Alternative energy and related technologies???)[/quote]

I think we have reached a tipping point with manufacturing. In the past, our high salaries, compared to the Chinese, were balanced by our infrastructure, education, available capital, system of allocating capital, and legal system.

Those advantages are now gone.

They have been building infrastructure like mad and ours has been rotting. Our suppliers are leaving so where once it was easier to be here, now it is harder.

They have matched our level of education in a single generation. Not for the entire population but the top 200 million can go head to head with us. I think the one child policy had a big impact here. The Chinese invest in their children and those investments were focused on just one.

Our government is busy borrowing all of our capital and taxing the rest.

Our legal system has become a burden and government unreliable (think Chrysler bond holders).

Our one remaining big advantage is possession of the worlds reserve currency but we seem to be trying to blow that as fast as we can.

Even though we no longer have an added value, our labor is still priced at 20x.

If you were going to build a factory to produce something that can be shipped in a container, why would would you build it here?

Our manufacturing base is disappearing at an incredible rate and the jobs that go are never coming back.[/quote]

Great perspective Sreeb. But without manufacturing what are our options? We n e e d manufactuing

[sreeb]

[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.

We are going to live in very interesting times.

[sreeb]

[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.

We are going to live in very interesting times.

[sreeb]

[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.

We are going to live in very interesting times.

[sreeb]

[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.

We are going to live in very interesting times.

[sreeb]

[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.

We are going to live in very interesting times.

[Coronita]

[quote=sreeb][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.

We are going to live in very interesting times.[/quote]
When it comes to technology, it’s not so cut and dry. There are many options. One being acquisitions.

There is a golden rule about innovation, which is usually after a company has a one-hit, innovation again usually happens elsewhere.

Tech companies really only grow via acquisitions…Because one company can seldomly have success after success in the stuff it creates itself no can it really sustain itself unless it happens to be in a special predicament of having almost monopoly (such as intel, microsoft, or qualcomm)…So it doesn’t really matter if a key technology is initially developed in China/Taiwan/Kore/etc. The key, is who ends up purchasing that asset. Once purchased, the know-how trickles down the company, and as a multi-national, that benefits everyone (some more than others).

Fact Check: Intel, for instance, was in it’s death-spiral with it’s original Pentinum design. The multicore processor design came from an Israeli design team.

[Coronita]

[quote=sreeb][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.

We are going to live in very interesting times.[/quote]
When it comes to technology, it’s not so cut and dry. There are many options. One being acquisitions.

There is a golden rule about innovation, which is usually after a company has a one-hit, innovation again usually happens elsewhere.

Tech companies really only grow via acquisitions…Because one company can seldomly have success after success in the stuff it creates itself no can it really sustain itself unless it happens to be in a special predicament of having almost monopoly (such as intel, microsoft, or qualcomm)…So it doesn’t really matter if a key technology is initially developed in China/Taiwan/Kore/etc. The key, is who ends up purchasing that asset. Once purchased, the know-how trickles down the company, and as a multi-national, that benefits everyone (some more than others).

Fact Check: Intel, for instance, was in it’s death-spiral with it’s original Pentinum design. The multicore processor design came from an Israeli design team.

[Coronita]

[quote=sreeb][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.

We are going to live in very interesting times.[/quote]
When it comes to technology, it’s not so cut and dry. There are many options. One being acquisitions.

There is a golden rule about innovation, which is usually after a company has a one-hit, innovation again usually happens elsewhere.

Tech companies really only grow via acquisitions…Because one company can seldomly have success after success in the stuff it creates itself no can it really sustain itself unless it happens to be in a special predicament of having almost monopoly (such as intel, microsoft, or qualcomm)…So it doesn’t really matter if a key technology is initially developed in China/Taiwan/Kore/etc. The key, is who ends up purchasing that asset. Once purchased, the know-how trickles down the company, and as a multi-national, that benefits everyone (some more than others).

Fact Check: Intel, for instance, was in it’s death-spiral with it’s original Pentinum design. The multicore processor design came from an Israeli design team.

[Coronita]

[quote=sreeb][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.

We are going to live in very interesting times.[/quote]
When it comes to technology, it’s not so cut and dry. There are many options. One being acquisitions.

There is a golden rule about innovation, which is usually after a company has a one-hit, innovation again usually happens elsewhere.

Tech companies really only grow via acquisitions…Because one company can seldomly have success after success in the stuff it creates itself no can it really sustain itself unless it happens to be in a special predicament of having almost monopoly (such as intel, microsoft, or qualcomm)…So it doesn’t really matter if a key technology is initially developed in China/Taiwan/Kore/etc. The key, is who ends up purchasing that asset. Once purchased, the know-how trickles down the company, and as a multi-national, that benefits everyone (some more than others).

Fact Check: Intel, for instance, was in it’s death-spiral with it’s original Pentinum design. The multicore processor design came from an Israeli design team.

[Coronita]

[quote=sreeb][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.

We are going to live in very interesting times.[/quote]
When it comes to technology, it’s not so cut and dry. There are many options. One being acquisitions.

There is a golden rule about innovation, which is usually after a company has a one-hit, innovation again usually happens elsewhere.

Tech companies really only grow via acquisitions…Because one company can seldomly have success after success in the stuff it creates itself no can it really sustain itself unless it happens to be in a special predicament of having almost monopoly (such as intel, microsoft, or qualcomm)…So it doesn’t really matter if a key technology is initially developed in China/Taiwan/Kore/etc. The key, is who ends up purchasing that asset. Once purchased, the know-how trickles down the company, and as a multi-national, that benefits everyone (some more than others).

Fact Check: Intel, for instance, was in it’s death-spiral with it’s original Pentinum design. The multicore processor design came from an Israeli design team.

[no_such_reality]

[quote=briansd1]

That’s why I’ve argued that if you have patience and can rent a nice place to live, you’ll be rewarded.
[/quote]

Hmm, let’s see, checking the date…

Hmm, checking the date of the start of the decline…

Hope you enjoy renting because frankly, you’re going to rent a long long time. Banks are incented to delay foreclosures and rates are so low that your choice is to rent or buy a hovel for a half a million dollars.

Take your pick, you get 30 years of paying the bubble inflated rent, either as a renter now, future renter of a buyer now or a be the buyer now.

And I’ll wager that renting a ‘nice’ place is going to see some pretty scarey rent increases in the future, because frankly, the majority of Southern California housing stock is sh*t. It’s dated, poorly maintained, poorly constructed and poorly laid out. And most of it is just plain old in poor shape.

And the majority of private rentals are the most neglected of the housing stock.

[no_such_reality]

[quote=briansd1]

That’s why I’ve argued that if you have patience and can rent a nice place to live, you’ll be rewarded.
[/quote]

Hmm, let’s see, checking the date…

Hmm, checking the date of the start of the decline…

Hope you enjoy renting because frankly, you’re going to rent a long long time. Banks are incented to delay foreclosures and rates are so low that your choice is to rent or buy a hovel for a half a million dollars.

Take your pick, you get 30 years of paying the bubble inflated rent, either as a renter now, future renter of a buyer now or a be the buyer now.

And I’ll wager that renting a ‘nice’ place is going to see some pretty scarey rent increases in the future, because frankly, the majority of Southern California housing stock is sh*t. It’s dated, poorly maintained, poorly constructed and poorly laid out. And most of it is just plain old in poor shape.

And the majority of private rentals are the most neglected of the housing stock.

[no_such_reality]

[quote=briansd1]

That’s why I’ve argued that if you have patience and can rent a nice place to live, you’ll be rewarded.
[/quote]

Hmm, let’s see, checking the date…

Hmm, checking the date of the start of the decline…

Hope you enjoy renting because frankly, you’re going to rent a long long time. Banks are incented to delay foreclosures and rates are so low that your choice is to rent or buy a hovel for a half a million dollars.

Take your pick, you get 30 years of paying the bubble inflated rent, either as a renter now, future renter of a buyer now or a be the buyer now.

And I’ll wager that renting a ‘nice’ place is going to see some pretty scarey rent increases in the future, because frankly, the majority of Southern California housing stock is sh*t. It’s dated, poorly maintained, poorly constructed and poorly laid out. And most of it is just plain old in poor shape.

And the majority of private rentals are the most neglected of the housing stock.

[no_such_reality]

[quote=briansd1]

That’s why I’ve argued that if you have patience and can rent a nice place to live, you’ll be rewarded.
[/quote]

Hmm, let’s see, checking the date…

Hmm, checking the date of the start of the decline…

Hope you enjoy renting because frankly, you’re going to rent a long long time. Banks are incented to delay foreclosures and rates are so low that your choice is to rent or buy a hovel for a half a million dollars.

Take your pick, you get 30 years of paying the bubble inflated rent, either as a renter now, future renter of a buyer now or a be the buyer now.

And I’ll wager that renting a ‘nice’ place is going to see some pretty scarey rent increases in the future, because frankly, the majority of Southern California housing stock is sh*t. It’s dated, poorly maintained, poorly constructed and poorly laid out. And most of it is just plain old in poor shape.

And the majority of private rentals are the most neglected of the housing stock.

[Author]

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