Tuesday, January 31, 2006

Why should investors be bailed out?

Why should investors, including big banks and financiers, be bailed out if their investments go sour? I would like to make a point (in general) about why they shouldn’t.

Corruption. Didn’t the recent gathering in Scotland have a decision regarding debt reduction to analyze? I remember there being many things to consider; one of which was how the governments of the developing nations use the money. AND corruption on the high levels was one of the considering factors. If the money that would be spent on debt is instead not shared for the benefit of the population, what good is reducing the debt?

Overall IMF Setup

I am open for conversation, but I believe that it is the most advanced practice that is realistic given the history and options available. We have always done what we had to do; sometimes the motivations have been less than democratic, but in the sandbox, the biggest kid rules. No, let me take that back. In our youth the biggest kid ruled. Rules change with maturity and nations grow up.

Many developing countries don’t have corruption staved off; from the street cops to the highest officials. Although they would like equal shares of vote; and regardless that the teaming seems to be based upon financial information, it is no wonder that Kenya, Lesotho, Malawi, Mozambique, Namibia, Nigeria, Sierra Leone, South Africa, Sudan, Swaziland, Tanzania, Uganda, Botswana, Burundi, Eritrea, Ethiopia, The Gambia, and Zambia have one representative (P.J. Ngumbullu from Tanzania) on the Executive Board. Could these countries individually comprehend the required position or devote time to such issues? Now, I haven’t traveled much, nor to I know the inner workings of their governments, but it seems like the way it is made up is the natural way.
There are piles of complaints and protests; but I would say, what can you do for your country?

Utopia, America and the Asian Financial Crisis

It sure was interesting what William Greider (Author, “One World, Ready or Not”) said in the PBS video, the Crash (1999) about what a classical or neoclassical action does. The liberal action of equilibrium is perhaps wild swings of investment and pullout and how the motivation to do so is risk aversion. He essentially said that this would not work and result in ruin – general ruin. He also said that America was led by this model, the utopian model of self regulating markets.

Friday, January 27, 2006

Being evil or not and Falun Gong

http://news.ft.com/cms/s/fed23e1e-8f2a-11da-b430-0000779e2340.html

Is the political body of China repressing the ideals of peacefulness
through hard lined secularism? The article is an introduction to me of
the Chinese government and its need to hold communism. Falun Gong
seems to be a religion that many people throughout the world would not
only tolerate, but embrace. I have only read a couple of articles in
FT.com and other searches from my censor free American version of
Google but Falun Gong appears to be nothing any more cultish than Tai
Chi Qigong.

The political body in China is similar to American in the sense that
it is made up of a number of politicians. I do not yet know what I
believe, but it would seem that these officials are protecting
themselves by not allowing the masses access to information regarding,
not only this subject but many. China apparently has the 'Great
Firewall' and monitors and limits email across borders. This seems to
be as Marxist as it gets.