Oh, hell, just more _ The Wife
Alright, I wanted to post much earlier, but The wife was, well, doing Her thing on the computer. But lest you think that She prevents valuable posts, I need to confess tht She adds value to posts.
Point of fact: I asked her about the privatazation of Social Security. I asked Her a question I have considered before, but I recently heard someone else mention of some program [sorry for the lack of citation, but it was on a 'news' source]. Regardless, I had the same question in mind - If you dump so much money into the equity markets, what the hell equity are you going to buy???
If the companies on the market, those available for investment, and they are all represented in the market, where is the new influx of capital supposed to go? Are we going to drive PE ratios to 100 times earnings just because the capital is available?
So, I asked The Wife. She said, "We'll just buy Chinese companies."
And I realized She made real sense. If American companies aren't available for investment, well, we'd just look elsewhere, and China just made good common sense.
Actually, it makes a lot of sense. If the markets here are fully invested in, than when new capital hits a fully saturated market, it must find another market to invest in. So, as we lose our jobs to the Chinese market place, it only makes sense to invest in their compaies, as they are the companies that have the ability to grow.
I had other things I was going to post, but it's now late. I was going to post on...
Anyway, maybe I'll get to what I was going to post tomorrow, but...