3 ms·
Absolutely this. For all of the benefits that come along with globalization, there is very little talk about all of the risks that come along with it. And you
by nscalf 8y ago
Absolutely this. For all of the benefits that come along with globalization, there is very little talk about all of the risks that come along with it. And you can see this on many scales---when European nations "globalized" to include all of their neighbors, they exponentially increased the risk that they would undergo economic stress. They let go of their tight control over their own economy and their ability to quickly and sharply respond to problems.
I went to college for economics during the recovery from 2008, and one of my professors was a very well respected economist managing large funds. One conversation I had with her stuck with me. We had to read the Wall Street Journal for some assignments, and I asked her why it seemed that Quantitative Easing wasn't have anywhere near the result we expected it to have. She said she thought it was because everyone was doing it. I remember reading articles about concerns that Japan was also doing QE and that it might belittle the efforts of the Fed over here.
I think globalization is a huge step forward and really beneficial overall, but it's not a panacea and it does come with some drawbacks.
- Chris_Chambers 8y agoThe reason QE “didn’t work” is because it was a trick meant for the Federal Reserve’s cronies to steal (“buy”) a ton of our property and rent it back to us. QE worked perfectly.