Economic innovation for a bright new world
Bullish on the U.S.
Tuesday - June 07, 2011.
BlackRock, a $3 Trillion investment firm and a LP in Venture we have met with is bullish on the U.S.
We agree with Chief Equity Strategist Bob Doll that U.S. entrepreneurial capacity will continue to lead the world, despite the way we see a subprime financial system, or socialistic capitalism, suppressing innovation. Apple and Facebook are great examples of custodians of innovation that have escaped the wrath of Venture Capital and grown dramatically despite (not because of) the traditional playbook of Venture Capital.
I agree with Bob on some of the economics he mentioned, but remain a staunch critic of the deplorable and suppressive role of a defunct financial arbitrage. With a new financial system guiding innovation we could be doing a lot better. Yet our cultural capacity to innovate, despite the flawed economic principles of our financial system, escapes and keeps rising above its arbitrage. But looking inwards, as we have found out, is clearly not part of the interest or risk analysis of many financiers.
Interesting points:
Read the full article here: [Links: The Wall Street Journal
]
We agree with Chief Equity Strategist Bob Doll that U.S. entrepreneurial capacity will continue to lead the world, despite the way we see a subprime financial system, or socialistic capitalism, suppressing innovation. Apple and Facebook are great examples of custodians of innovation that have escaped the wrath of Venture Capital and grown dramatically despite (not because of) the traditional playbook of Venture Capital.
I agree with Bob on some of the economics he mentioned, but remain a staunch critic of the deplorable and suppressive role of a defunct financial arbitrage. With a new financial system guiding innovation we could be doing a lot better. Yet our cultural capacity to innovate, despite the flawed economic principles of our financial system, escapes and keeps rising above its arbitrage. But looking inwards, as we have found out, is clearly not part of the interest or risk analysis of many financiers.
Interesting points:
- U.S. productivity is "OK and better than lots of other places. Over the next 20 years, the U.S. work force is going to grow by 11%, Europe's going to fall by five, and Japan's going to fall by 17.”
- Half of the 2009 stimulus program was "true stimulus" for the economy. What about the rest? “Call your congressman and find out”
- “We face formidable long-term structural problems that make the U.S. less attractive than it otherwise might be.”
- In 1995 the U.S. produced roughly 25% of the world's goods and services and in 2010, after 15 years that included a tech bust, a terrorist attack and a housing bust that triggered a financial crisis, the U.S. was still producing that same 25% of global GDP
Read the full article here: [Links: The Wall Street Journal
]US World Debt
Thursday - February 03, 2011.
This map
shows leading foreign holders of United States Treasury Securities (at end of period - Nov 2010). Grand total: US $4,346.8 Billion.A clear signal as to why the government should stick to doing what it does best, govern the creation of new free-market systems, rather than infuse inefficient economic market constructs with more money and regulations. Because only efficient public markets can drive the recovery of the United States and wipeout this massive debt.
World Economies
Sunday - January 30, 2011.
Sweeping shifts in world economies, according to a study by Euromonitor:
: • By 2017, China will become the world's largest economy, surpassing the United States • By 2012, India will overtake Japan to be the world's third largest economy • By 2012, Russia will surpass Germany to be the fifth largest economy in the world • Mexico also enters the top 10 by 2020, overtaking Italy.