America's economic reality...

Imperial Decline: by Bill Bonner

The new globalized capital markets are rapidly bringing both cash and technology to the place that will earn it the highest rate of return. Fifty years ago, that place was America. Now, it is Asia. So, the factories go up in Shanghai...not in Cincinnati. But still, in the Buckeye State, people hardly notice. They go about their business peacefully, even rather tickled not to have the factories. After all, that means they can now move up the socio-economic ladder. Let the Asians do the sweating. They will do the thinking! The only question is, what will they think about? Most likely, it will be about how they will refinance their house, borrowing from Asian savers, in order to continue buying gadgets and gizmos, manufactured by Asian producers.