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What's really awful is that this has happened before. This write up of 80s Japan (from 1990!) is worth a read https://hbr.org/1990/05/power-from-the-ground-up
by rcpt 5y ago
What's really awful is that this has happened before.
This write up of 80s Japan (from 1990!) is worth a read
https://hbr.org/1990/05/power-from-the-ground-up-japans-land-bubble https://hbr.org/1990/05/power-from-the-ground-up-japans-land...
- nemo44x 5y agoThe difference is the USD is the global reserve currency. And that’s not changing anytime soon. It’s a totally different game when the entire planet wants to (or has to) transact in your money. It’s also justified as the USA is by far the most dynamic economy in the world and has the most advanced military there to protect your investment in USD.
- ur-whale 5y ago> And that’s not changing anytime soon. I wouldn't bet the farm on this one. The US ain't what it used to be and China is rising fast.
- nemo44x 5y agoSuch an overblown and baseless talking point. The USA has never been in a stronger position. Literally just printed 40% more money than has ever been created and the demand for her bonds is insatiable. I’m happy for China and Chinese people having a better quality of life. But their economy is based on humans doing things inexpensive. It’s essentially a services business, not a SaaS business. It doesn’t scale well but they have so many poor people to exploit that they can make a thing of it. When the seriously export culture, novel technology, or medicines then sure. When they aren’t a net importer of food then sure. But the yuan is not a serious threat to usd. It’s pegged to it.
- dmingod666 5y agoBehind the cheap workers is whole industries and ecosystems and know-how, it's not a cheap labor problem. Bangladesh is cheap labor but if you wanted to start building phones there you will not have the ecosystem to support you..