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Home Page › News & Events › Financial Updates
 

Will Capitalism Collapse If Americans Stop Consuming?

 
Author: Lance Winslow

Some believe if the American Consumer stops spending money that the American Economy will collapse. This line of reasoning is utter hokum indeed. We can self sustain if we would slow the monetary outflows from our nation to foreign lands which do not reciprocate in kind and buy our goods.

For instance we have nations like Mexico who charge me 50% import taxes on the equipment I sell there, yet they have no taxes on products coming this way, while we put factories there and hire them and pump money into their economy. Additionally each week billions are sent back to families of workers who are hear both legally and illegally. If our money circulates within our borders or flows out and comes back and circulates around the world, we will be fine. But the issues of trade deficits with Mexico is only part of the over all widespread problem. Indeed we have such issues in Middle East (oil) although to their credit they do reciprocate more than the Chinese and just think how much.

Recently in an intellectual conversation a gentleman stated: Americans are the consumers of the world we buy more we waste more we are addicted to this kind of stupid behavior, but there will be a time when they just won't do it anymore.

Indeed but this does not mean that it will collapse our economy. And as far as America Consumers and their obvious consumerism; I would like to point out that Americans are great people. They have strong genes and are a cut above the rest of the world. I know I have traveled it. Additionally our national psyche is strong in that people believe and often live without limits. Our economy is much stronger than you might think and so in 2006 please consider this.

Author Bio:

Lance Winslow

Currently Lance is retired at age 40 and is running an Online Think Tank Forum while traveling North America. Perhaps considering something extremely challenging to do that will exercise his mind and utilize all his experiences, observations and skills. Any ideas?

You can search for this article using: financial news, reuters financial news, free financial news, financial market news
 
 
 

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