PeakTrader.com

[administrator]

PeakTrader:

I doubt the E.U. can export its way to prosperity.

Why would Americans build factories in Europe?

Wages, regulations, and taxes may be too high to make a profit.

The Europeans aren’t strong competitors in the Information and Biotech Revolutions, where the U.S. not only leads the world, it leads the rest of the world combined (in both revenue and profit).

And, Asia is a better place to invest in Industrial Revolution products.

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Of course, a weaker Euro will boost E.U. exports, including tourism, and attract some foreign investment, e.g. in high-quality manufacturing.

However, the Euro may not depreciate enough to have much of an effect on output and employment.

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China Articles:

http://www.washingtonpost.com/blogs/wonkblog/wp/2013/07/16/a-simple-clear-explanation-of-chinas-economic-woes/

http://www.reuters.com/article/2014/07/07/us-china-economy-gdp-idUSKBN0FC08920140707?feedType=RSS&feedName=topNews

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