Registrato: 09/07/19 11:31
|I read an interesting article in foreign Affairs magazine last year , and recently in the Economist also. The articles stated in some way that a country without a set of laws for property rights would mean slow-growth, lack of foreign investment and economic vitality would be scarce. While I tend to agree with this premise to some degree, I think you might enjoy a second opinion. Let me tell you where I differ, first off, a mobile business franchise is a safe investment even if property rights are not yet established. It can service the connected elite. This is great. By promoting free market system and selling of wares in the street and mobile businesses a countries early beginnings are possible of establishing a small economic base. I know this is feasible from first hand knowledge.
So what does this mean; it means a company like I own; The Car Wash Guys; should be first in, last out. Yes, that term was stolen from an accepted accounting principle for measuring inventory. Just a thought for all you who question the revival of Amsterdam Academic Economic Models in emerging markets and see the first step as one which should bind the country in premature laws which might be culturally incorrect for nations of 1000 years of no property laws at all.
This idea of small mobile type businesses, open market displays of wares and food on carts or mobile services make sense as the first step. Think of countries today on the African Continent and elsewhere in which the land is owned by an invisible God of their cultural choosing which has been known to them for thousands of years? Think past the norms of immediate laws and work towards the exchange of trade and stability in confidence of the people who live in the cities, towns and villages, before we thrust our laws and lawyers on those folks. No sense in over regulating or over-lawyering an emerging market with a layer of bureaucracy when you are trying to accelerate the entrepreneurism and free market fundamentals. First things first; think about it.
"Lance Winslow" - If you have innovative thoughts and unique perspectives, come think with Lance;
Anthony Ricigliano ? China Sneezes and the World Catches a Cold Business Articles | May 23, 2012
The powers that be in China, seeing the growth of heat to 11.9 in the first quarter of this year, decided that the economy cools lending and investment curbs were needed to prevent overheating. These borders began to work immediately, slowing more sharply than expected due to lower demand for U.S.
The powers that be in China, after seeing growth heat up to 11.9 in the first quarter of the year, decided that is cooling down the economy with lending and investment curbs was needed to prevent overheating. These curbs went to work immediately, slowing the growth rate more sharply than expected with a result of reducing demand for U.S. and European factory machinery, industrial components from Asia and iron ore as well as other raw materials from Australia and Africa.
The timing of China?s slowdown comes at a bad time for exporters that have seen sales go slack just about everywhere else. Already a huge trading partner for many of these countries prior to the recessions that hit the U.S., Europe and others, China had taken a role as the only game town due to a stimulus-driven expansion program designed to compensate for slowing sales elsewhere.
Even with slowing growth Anthony Ricigliano China Sneezes overtook Japan as the second-biggest economy in the second quarter. It is a buyer of 28 percent of Taiwan's exports, 25 percent of South Korea's and more than 20 percent of Australia's mining and raw materials production. Japan just reported sharply lower growth for its second quarter as the growth of exports was almost halved from the first quarter.
That being said, it is the producers of iron ore for steel production and other construction-related raw materials which are expected to take the hardest hits from China?s self imposed slowdown. The winding down of a construction boom pushed by China's $586 billion stimulus program as well as billions of dollars in of bank lending is already being felt. These producers include Australia, Indonesia, Malaysia, Brazil and parts of Africa.
New construction projects dwindled as Beijing wound down its stimulus and tightened credit in the second quarter to take the air out of inflating bubbles in real estate and stock prices, slashing demand for steel, cement and other construction related materials. Factory output slowed as well and is expected to head lower in the third quarter as well.
Overall, China?s import growth slowed by about one-third in July, sending tremors throughout the world as the most robust buyer of imported goods for many countries took a step back from the table. An example of the bind China?s slowdown is putting countries in is Taiwan, a major source of components for Chinese factories that make televisions and other electronics, which are in turn sent as finished products United States. Anthony Ricigliano World Catches China?s slower growth, combined with slowing sales in the U.S. at the same time could hit Taiwan?s manufacturing industries particularly hard.
China, at this point, sits in the enviable position of trying to restrain growth while the rest of the world either relies on them for their relatively healthy economies, such as Australia or tries to recover from recession, like the U.S. With China expecting slower growth over the next several quarters, it could be a rough ride for everyone.
Submitted 2018-06-09 11:33:19 .