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2006-06-08 15:04:22 · 3 answers · asked by Anonymous in Social Science Economics

cus 80% of thar ex port go to us

2006-06-08 15:26:08 · update #1

3 answers

I don't think our economy will fall, but certain sectors will experience a decline.

Remember there are 300 million of us who need to eat, drive, be entertained, and seek medical care. Where you'll see it most is at the light durables level, ie clothing and household appliances.

The money isn't gone - there's a lot of profit in the U.S. and cash flow is pretty good for the time being. Chinese businesses are HEAVY investors in U.S. T-bonds, but this is done more for the security of investment (the Chinese are notoriously risk-averse, and won't invest domestically when a stable option like Treasuries are available), so the U.S. government has money, and it spends it on a number of industries. Also, certain business sectors are doing well, while others are slowing down.

Don't look at the stock market to gauge the health of the U.S. economy or any for that matter. Yes, people spend less when wealth begins to evaporate, but so long as companies find other means to borrow besides the stock market, a market crash is something that can be recovered from. Also remember that we are currently in a situation where there is more money than places to put it, so riskier investments are being made to pursue higher levels of return. The underlying value of the stocks don't change, they are just overvalued.

2006-06-09 03:56:39 · answer #1 · answered by Veritatum17 6 · 0 0

Good one smart one the answer to that is the National Debt! yes we let all the morons in the world borrow from us and we pay every stinking day. Do they say Thankyou No. We still help out. When we are even at war with others. Doesn't always makes sence. but if we did try to make sence of it. It may make us crazy or we already there yet? What they need to do is. Say No to other Countries and take care of home. Yes it is the land of the free but we are the ones with a debt. So the cost of living and food, gasoline, ect. goes sky rocket and kids starving in are own. U and every American needs to go on strike until the government does something but that would take alot. Yeah right. It also boils down to we beleive in helping out our fellow man. What ever. I think some one has there head put on wrong and needs. well what the people don't know is that China and other countries have figure our systems out and SMARTS will get u far baby!

2006-06-09 07:37:17 · answer #2 · answered by babycakes3 2 · 0 0

by Dumpin Chinese products in American markets..

2006-06-14 09:20:42 · answer #3 · answered by Anonymous · 0 0

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