How to Reboot America

Dambisa Moyo speaks at the Daily Beast's Reboot America Summit about how to kickstart America's economic growth (Oct 22, 2010).

http://www.dambisamoyo.com

Category:

News & Politics

Tags:

• Dambisa Moyo
• How The West Was Lost
• US Economy

[Basra2020]

gosh dambisa--do u ever get tired of being sorrounded by bored men who are just overwhelmed by your enormous intellectual hubris? Seriously, the asian dude close to you, keeps on staring at your fabulous manucures,and heel shoes, the man next to him, is amused, the indian next to him is bored, and somewhat fatigued from listening to and the last but certainly not the least- the old dude furthest from you seem -darn very well almost about to faint from economic overdose lecture. lol

[joewilder]

@Outgrow Of course, I'm theorizing. But, as long as we're printing money out of whole cloth, why don't we give it to people who will spend it on products? If our money gets funny enough, the Chinese aren't going to want it anymore.  Instead they'll use some of the dollars they have that they no longer want to buy some hard assets here. It's a tough game, but it appears that's how everyone is playing it.

[Outgrow]

@edsanville Yes, I agree that lower productivity was the cause of America's trade imbalance, but ones a country is in a recession, like in the States, becoming more productive is one of the means to restore the economy. This is what the States is/was trying to do, which is made impossible due to the cheap products from abroad. In the case of China, state intervention was good as its economy wasnt as open (yet). First economic stability on ones terms and then letting the free market take control

[edsanville]

@Outgrow I completely agree with you here...

[edsanville]

@Outgrow How is productivity hampered by competition from China? Being beaten by China in the marketplace is a symptom of lower productivity in the US, not the cause. The trade imbalance has basically resulted in Americans benefiting from much greater overall productivity, without having to pull their weight. These imbalances were essentially created by government protectionism to begin with (central bank control/exchange rate intervention, etc., on behalf of both the Amer. and Chinese govts)

[Outgrow]

@jcsump excuse me? By becoming a protectionist state, the problems will not be fitted. FYI..Historically US is already a protectionist state through the Bretton Woods system. What the States needs to do is to cut governmental spending on defense, etc. And indeed focus on education. However, complete protectionism will not be the solution and I think this also isnt what Dambisa meant by bringing it into mainstream.

[Outgrow]

And another thing! How can you say that by printing some more money, the imbalance problem is solved. Do you even know what happens when more money is generated?! Inflation and eventually hyperinflation! Do you know what inflation means? Your money becomes less worth. Is that what you call a solution?! And by just handing over money to people isnt going to help, cause you would continue to feed the vicious circle of benefits which Americans are already enjoying.

[Outgrow]

@joewilder I dont agree. The reason why Chinese goods are hurting the States has to do with the three principles of economics. If productivity is hampered, due to the stiff Chinese competition, no labor can be generated. No labor means no capital, which means not able to buy goods, even the cheap Chinese ones. Dambisa said this in the above video, I would suggest to watch it again.

[jcsump]

Great video! I do believe as you do. America has serious issues here. What America needs right now is to enter protectivism state, get rid of this left/right political mindset, and focus on education. Once we truly understand globalization, then we embrace the world as potential global trade partners no matter what ideology our partner follows.

[yogiudo]

good work, Dambisa.