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Abby Spoke: Cautiously Optimistic About U.S. Economy

Tuesday, April 30, 2013 - 4:44 PM
From MarketWatch.com:

Falling consumer debt helps, but economy needs more: Abby Joseph Cohen - The Tell - MarketWatch

"Cohen said one of the most troubling aspects of the current state of affairs is that the U.S. is losing its edge in long-term investments in education as well as research and development. The U.S. still spends more on this overall than other nations, but now ranks in the middle of the pack in the percentage of GDP devoted to R&D. She added the U.S.’s educational standing has gone from No. 1 to No. 12."

I echo her long-term concern: In saving the U.S. economy for the near-term, we are losing our long-term edge in investing in our national wisdom and technological advances.  First, Bell Laboratories were gone with the wind (sorry, I am Rhett).  Then the DoD Think Tank (e.g., DRAPA, FFRDCs) have reduced to routine short-term military weapon fielding.  The university research (funded mainly by NSF, NIH) is now impacted severly by sequestration.  It is easy to envision the future U.S.: third world country in terms of smartness and intellectual products.  
4
51hh51hh1,476 posts since
Jan 16, 2010
Rep Points: 6,427
1. Tuesday, April 30, 2013 - 8:50 PM
.

Dear 51hh,

   >> It is easy to envision the future U.S.: third world country in terms of smartness and intellectual products.

Okay, but is it easy to envision any country that can dislodge our greenbacks from the status of world's only reserve currency?  Right now we have huge unemployment, when this period of high unemployment gets over, it is quite easy for me to visualize the future US:
  • The only Superpower
  • A country with Freedom and Rule-of-law
  • Federal Government that's making progress towards an era of Surplus
  • Finally the society with growing middle-income families having vociferous desire to consume: (a) Energy (renewable), (b) Goods/Services (at fair price) and (c) Knowledge/Education (in world's top schools)
Yours Truly,
- Anon
3
ytytytytytytytyt158 posts since
Jan 28, 2013
Rep Points: 623
2. Wednesday, May 1, 2013 - 6:54 AM
Yt,

Thanks for the positive perspective; but I really do not see this optimism in my realm of work and my surroundings.  In other words, they are not ding what you are "easily" visualizing.

I certainly wish that you were correct and I were wrong.

BR,

51
1
51hh51hh1,476 posts since
Jan 16, 2010
Rep Points: 6,427
3. Wednesday, May 1, 2013 - 11:11 PM
.

Dear 51hh,

My optimism is not merely based on my hope.  There are elements in my surroundings that indicate to me, that we are  growing stronger.  Check the first sentence in the second paragraph from the CBO's report at link below:

http://cbo.gov/publication/43907

So ... how about it ... Together let us head into the future where we'll have Surplus?  :-)

Yours Truly,
- Anon
1
ytytytytytytytyt158 posts since
Jan 28, 2013
Rep Points: 623
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