tag:blogger.com,1999:blog-7464708.post1131059579926349478..comments2024-03-22T06:05:36.544-04:00Comments on Kids Prefer Cheese: People: Accounting identities do not imply causation!Mungowitzhttp://www.blogger.com/profile/02340064320347875601noreply@blogger.comBlogger8125tag:blogger.com,1999:blog-7464708.post-68223806000868391622011-04-19T05:17:51.614-04:002011-04-19T05:17:51.614-04:00Very... Nice... Blog.. I really appreciate it... T...Very... Nice... Blog.. I really appreciate it... Thanks..:-)pete.william89@gmail.comhttp://www.contlight.com.br/noreply@blogger.comtag:blogger.com,1999:blog-7464708.post-65255217826410892162010-09-11T11:49:30.977-04:002010-09-11T11:49:30.977-04:00Right on, Tom! Accounting identities that the pun...Right on, Tom! Accounting identities that the pundits do not grasp:<br /><br />Net Exports = Net Capital Outflow<br /><br />so, logically, Net Imports = Net Capital Inflow.<br /><br />Capital inflow is not a bad thing, especially after getting cheap imports in exchange. Of, course, though, there's a claim on some U.S. asset that will have to be repaid down the line. However, if the capital inflow was used as leverage for growth AND it produces more than what has to be ultimately repaid, it will be a benefit.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-7464708.post-36907193746671027672010-09-11T02:40:37.347-04:002010-09-11T02:40:37.347-04:00Ahhh, but then, if you follow the argument those p...Ahhh, but then, if you follow the argument those people make, you end up in the middle between english imperialism (buying raw products from "foreign countries", refining them and reselling them to a higher price - somehow this is ok, when you are the country doing it) and the economic necessities in the 3rd Reich.<br /><br />I think national socialism in Germany and the 2nd WW showed us that this kind of protectionist thinking is nonesense, because Germany TRIED to produce everything themselves and they utterly failed. Shortages on all kinds of everyday products occured and priorities were set.Maxhttps://www.blogger.com/profile/00950263043962148304noreply@blogger.comtag:blogger.com,1999:blog-7464708.post-67329996402866726632010-09-10T12:15:17.670-04:002010-09-10T12:15:17.670-04:00John: post corrected to remove inadvertent nautica...John: post corrected to remove inadvertent nautical reference! thanks.Angushttps://www.blogger.com/profile/03656436431053306500noreply@blogger.comtag:blogger.com,1999:blog-7464708.post-25344534178297243922010-09-10T11:16:51.946-04:002010-09-10T11:16:51.946-04:00Tom: that's why I got such a kick out of my wo...Tom: that's why I got such a kick out of my word verification :-)John Covilhttps://www.blogger.com/profile/16791564966801146755noreply@blogger.comtag:blogger.com,1999:blog-7464708.post-56481051381731339252010-09-10T09:46:50.854-04:002010-09-10T09:46:50.854-04:00The term "trade deficit" is a misnomer. ...The term "trade deficit" is a misnomer. That number should be known as the "investment surplus." It's the net amount of money that people chose to send into the U.S., without any immediate expectation of something in return. High numbers are good :-)Tomhttps://www.blogger.com/profile/08574355302581451838noreply@blogger.comtag:blogger.com,1999:blog-7464708.post-65456047555659265982010-09-10T09:41:35.365-04:002010-09-10T09:41:35.365-04:00Angus: "No economist worth their salt would m...Angus: "No economist worth their salt would make such a claim." I heartily agree, but I can think of one person with a Nobel Prize in Economics who says things like that.Tomhttps://www.blogger.com/profile/08574355302581451838noreply@blogger.comtag:blogger.com,1999:blog-7464708.post-73047411382422715182010-09-10T09:07:06.141-04:002010-09-10T09:07:06.141-04:00I don't understand: why would domestic goods n...I don't understand: why would domestic goods need to be sailed?<br /><br />Hilarious: my word verification for this post was, "croog."John Covilhttps://www.blogger.com/profile/16791564966801146755noreply@blogger.com