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<?xml-stylesheet type="text/xsl" href="http://www.investorsinsight.com/utility/FeedStylesheets/rss.xsl" media="screen"?><rss version="2.0" xmlns:dc="http://purl.org/dc/elements/1.1/" xmlns:slash="http://purl.org/rss/1.0/modules/slash/" xmlns:wfw="http://wellformedweb.org/CommentAPI/"><channel><title>Search results matching tag 'De-Industrialization'</title><link>http://www.investorsinsight.com/search/SearchResults.aspx?a=1&amp;o=DateDescending&amp;tag=De-Industrialization&amp;orTags=0</link><description>Search results matching tag 'De-Industrialization'</description><dc:language>en-US</dc:language><generator>CommunityServer 2008.5 SP1 (Build: 31106.3070)</generator><item><title>America's Path Forward</title><link>http://www.investorsinsight.com/blogs/richard_schwartz_principles_of_the_stock_market/archive/2008/07/09/america-s-path-forward.aspx</link><pubDate>Wed, 09 Jul 2008 14:31:00 GMT</pubDate><guid isPermaLink="false">94e1e1ff-3922-415d-9584-19119299714b:1923</guid><dc:creator>RichardSchwartz</dc:creator><description>&lt;p align="center" style="margin:0in 0in 0pt;text-align:center;tab-stops:.5in;" class="MsoHeader"&gt;&lt;span style="font-size:x-small;"&gt;&lt;font face="Times New Roman"&gt;A Recap of:&lt;span style="mso-spacerun:yes;"&gt;&amp;nbsp; &lt;/span&gt;&lt;/font&gt;&lt;b&gt;&lt;span style="color:navy;font-family:Georgia;mso-bidi-font-family:Georgia;"&gt;THE WORLD IN &lt;/span&gt;&lt;/b&gt;&lt;/span&gt;&lt;b&gt;&lt;span style="font-size:14pt;color:navy;font-family:Georgia;mso-bidi-font-family:Georgia;"&gt;2020&lt;/span&gt;&lt;/b&gt;&lt;b&gt;&lt;span style="font-size:x-small;"&gt;&lt;span style="color:navy;font-family:Georgia;mso-bidi-font-family:Georgia;"&gt;:&lt;span style="mso-spacerun:yes;"&gt;&amp;nbsp; &lt;/span&gt;POWER, CULTURE AND PROSPERITY&lt;/span&gt;&lt;span style="color:blue;"&gt;&lt;/span&gt;&lt;/span&gt;&lt;/b&gt;&lt;/p&gt;
&lt;p align="center" style="margin:0in 0in 0pt;text-align:center;tab-stops:.5in;" class="MsoHeader"&gt;&lt;b&gt;&lt;span style="color:#99cc00;"&gt;&lt;span style="font-size:x-small;"&gt;&lt;font face="Times New Roman"&gt;By Hamish McRae (1994)&lt;/font&gt;&lt;/span&gt;&lt;/span&gt;&lt;/b&gt;&lt;/p&gt;
&lt;p style="margin:0in 0in 0pt;tab-stops:.5in;" class="MsoHeader"&gt;&lt;span style="font-size:x-small;font-family:Times New Roman;"&gt;&amp;nbsp;&lt;/span&gt;&lt;/p&gt;
&lt;p style="margin:0in 0in 0pt;tab-stops:.5in;" class="MsoHeader"&gt;&lt;span style="font-size:x-small;font-family:Times New Roman;"&gt;Before my memory fades, let me recap a bit of the fact and opinion filled book I read on my vacation.&lt;span style="mso-spacerun:yes;"&gt;&amp;nbsp; &lt;/span&gt;Essentially Mr. McRae, an acclaimed commentator with a 25-year career writing for two British national newspapers interpreting the international and economic scenes and previously already a best selling author, portrays how the world will develop by 2020. &lt;span style="mso-spacerun:yes;"&gt;&amp;nbsp;&amp;nbsp;&lt;/span&gt;Basically he briefs us about where the world stood in 1994, then discusses the major forces for change, including demographics, natural resources, trade, tech and government, and then concludes by describing the world as he sees it in 2020.&amp;nbsp; (Mr. McRae&amp;#39;s book offers great perspective.&amp;nbsp; I recommend getting&amp;nbsp;and reading it yourself.)&lt;/span&gt;&lt;/p&gt;
&lt;p style="margin:0in 0in 0pt;tab-stops:.5in;" class="MsoHeader"&gt;&lt;span style="font-size:x-small;font-family:Times New Roman;"&gt;&amp;nbsp;&lt;/span&gt;&lt;/p&gt;
&lt;p style="margin:0in 0in 0pt;tab-stops:.5in;" class="MsoHeader"&gt;&lt;span style="font-size:x-small;font-family:Times New Roman;"&gt;Let me begin at the very end.&lt;span style="mso-spacerun:yes;"&gt;&amp;nbsp; &lt;/span&gt;I was absolutely delighted to find in the final chapter this McRae conclusion:&lt;span style="mso-spacerun:yes;"&gt;&amp;nbsp; &lt;/span&gt;&lt;span style="color:blue;"&gt;&amp;ldquo;If the &lt;/span&gt;&lt;span style="color:blue;"&gt;US&lt;/span&gt;&lt;span style="color:blue;"&gt; does reimpose majority values, it will do so in a spirit of decency and humanity.&lt;span style="mso-spacerun:yes;"&gt;&amp;nbsp; &lt;/span&gt;The &lt;/span&gt;&lt;span style="color:blue;"&gt;United States&lt;/span&gt;&lt;span style="color:blue;"&gt; has to come to terms with an inability to increase living standards for the majority of its people until and unless its citizens behave in a more ordered way.&lt;span style="mso-spacerun:yes;"&gt;&amp;nbsp; &lt;/span&gt;But it will do so.&amp;rdquo;&lt;span style="mso-spacerun:yes;"&gt;&amp;nbsp; &lt;/span&gt;&lt;/span&gt;&lt;b&gt;&lt;span style="color:maroon;"&gt;Schwartz View:&lt;/span&gt;&lt;/b&gt;&lt;span style="color:blue;"&gt;&lt;span style="mso-spacerun:yes;"&gt;&amp;nbsp; &lt;/span&gt;&lt;/span&gt;Yay!&lt;span style="mso-spacerun:yes;"&gt;&amp;nbsp; &lt;/span&gt;That&amp;rsquo;s my belief too.&lt;span style="mso-spacerun:yes;"&gt;&amp;nbsp; &lt;/span&gt;America must start living in a more orderly, civilized way to really regain our leadership role and again improve our living standards which have been stagnating for far too long..&lt;span style="mso-spacerun:yes;"&gt;&amp;nbsp; &lt;/span&gt;Thus I&amp;rsquo;m relieved and delighted to come upon some other observer of life and the times noting the same thing I have.&lt;/span&gt;&lt;/p&gt;
&lt;p style="margin:0in 0in 0pt;tab-stops:.5in;" class="MsoHeader"&gt;&lt;span style="font-size:x-small;font-family:Times New Roman;"&gt;&amp;nbsp;&lt;/span&gt;&lt;/p&gt;
&lt;p style="margin:0in 0in 0pt;tab-stops:.5in;" class="MsoHeader"&gt;&lt;span style="font-size:x-small;font-family:Times New Roman;"&gt;This morning I&amp;rsquo;ll just describe America in 2020.&lt;span style="mso-spacerun:yes;"&gt;&amp;nbsp; &lt;/span&gt;But in forthcoming letters, say in my regular &lt;b&gt;&lt;span style="color:red;"&gt;GLOBAL VIEW&lt;/span&gt;&lt;/b&gt; section, and elsewhere when and where appropriate, I&amp;rsquo;ll fill you in on Mr. McRae&amp;rsquo;s views on other countries&amp;rsquo; progress and their standing in 2020 as well.&lt;/span&gt;&lt;/p&gt;
&lt;p style="margin:0in 0in 0pt;tab-stops:.5in;" class="MsoHeader"&gt;&lt;span style="font-size:x-small;font-family:Times New Roman;"&gt;&amp;nbsp;&lt;/span&gt;&lt;/p&gt;
&lt;p style="margin:0in 0in 0pt;tab-stops:.5in;" class="MsoHeader"&gt;&lt;span style="font-size:12pt;font-family:&amp;#39;Bodoni MT Black&amp;#39;;mso-bidi-font-family:&amp;#39;Bodoni MT Black&amp;#39;;"&gt;The &lt;/span&gt;&lt;span style="font-size:12pt;font-family:&amp;#39;Bodoni MT Black&amp;#39;;mso-bidi-font-family:&amp;#39;Bodoni MT Black&amp;#39;;"&gt;United States&lt;/span&gt;&lt;span style="font-size:12pt;font-family:&amp;#39;Bodoni MT Black&amp;#39;;mso-bidi-font-family:&amp;#39;Bodoni MT Black&amp;#39;;"&gt; In 2020&lt;/span&gt;&lt;span style="font-size:x-small;"&gt;&lt;font face="Times New Roman"&gt;. &lt;span style="mso-spacerun:yes;"&gt;&amp;nbsp;&amp;nbsp;&lt;/span&gt;The US will continue to get multicultural, much more so than any other country.&lt;span style="mso-spacerun:yes;"&gt;&amp;nbsp; &lt;/span&gt;Thus it will feel much different than the past and different also from the rest of the world which discourages immigration.&lt;span style="mso-spacerun:yes;"&gt;&amp;nbsp; &lt;/span&gt;We&amp;rsquo;ll feel &lt;span style="color:blue;"&gt;&amp;ldquo;big and vibrant&amp;rdquo;&lt;/span&gt; but not &lt;span style="color:blue;"&gt;&amp;ldquo;particularly rich.&amp;rdquo;&lt;/span&gt;&lt;span style="mso-spacerun:yes;"&gt;&amp;nbsp; &lt;/span&gt;There will continue to be large pockets of poverty. [&lt;b&gt;&lt;span style="color:maroon;"&gt;Schwartz:&lt;/span&gt;&lt;/b&gt;&lt;span style="mso-spacerun:yes;"&gt;&amp;nbsp; &lt;/span&gt;Unfortunately, that&amp;rsquo;s just how capitalism works.]&lt;span style="mso-spacerun:yes;"&gt;&amp;nbsp; &lt;/span&gt;The incoming immigrant population will keep the ideas flowing and innovation happening and the US growing faster than Europe or Japan but will cost us more as running a multicultural society is expensive.&lt;span style="mso-spacerun:yes;"&gt;&amp;nbsp; &lt;/span&gt;By 2020 we will be well on our way to de-industrialization, having less then 10% of America employed in manufacturing.&lt;span style="mso-spacerun:yes;"&gt;&amp;nbsp; &lt;/span&gt;We will be depending more and more on the service sector and will be the global leader in services by far.&lt;span style="mso-spacerun:yes;"&gt;&amp;nbsp; &lt;/span&gt;[&lt;b&gt;&lt;span style="color:maroon;"&gt;Schwartz:&lt;/span&gt;&lt;/b&gt;&lt;span style="mso-spacerun:yes;"&gt;&amp;nbsp; &lt;/span&gt;This is debate about whether abandoning manufacturing is a good thing or not.]&lt;span style="mso-spacerun:yes;"&gt;&amp;nbsp; &lt;/span&gt;We will see a decline in the old city centers and further growth in edge cities which will also be different than the rest of the world.&lt;span style="mso-spacerun:yes;"&gt;&amp;nbsp; &lt;/span&gt;Edge cities just being semi-urban agglomerations inhabited mostly by professionals.&lt;span style="mso-spacerun:yes;"&gt;&amp;nbsp; &lt;/span&gt;Better communications will make large cities redundant as more workers will telecommute.&lt;span style="mso-spacerun:yes;"&gt;&amp;nbsp; &lt;/span&gt;More work and social life will be done by phone, videoconferencing, email and fax.&lt;span style="mso-spacerun:yes;"&gt;&amp;nbsp; &lt;/span&gt;Our neighbors, Canada and Mexico, will become even further integrated into the US economy as migration continues.&lt;span style="mso-spacerun:yes;"&gt;&amp;nbsp; &lt;/span&gt;Cultural and economic borders, if not political ones, will disappear.&lt;span style="mso-spacerun:yes;"&gt;&amp;nbsp; &lt;/span&gt;Although likely losing&amp;nbsp;our richest nation role, the intellectual leadership of the US will remain and we will continue to export our culture, ideas and language.&lt;span style="mso-spacerun:yes;"&gt;&amp;nbsp; &lt;/span&gt;&lt;/font&gt;&lt;/span&gt;&lt;/p&gt;
&lt;p style="margin:0in 0in 0pt;tab-stops:.5in;" class="MsoHeader"&gt;&lt;span style="font-size:x-small;font-family:Times New Roman;"&gt;&amp;nbsp;&lt;/span&gt;&lt;/p&gt;
&lt;p style="margin:0in 0in 0pt;tab-stops:.5in;" class="MsoHeader"&gt;&lt;span style="font-size:x-small;font-family:Times New Roman;"&gt;We have three big issues facing us domestically; bureaucracy, security and lifestyle.&lt;span style="mso-spacerun:yes;"&gt;&amp;nbsp; &lt;/span&gt;Bureaucracy-wise, we are running an inefficient society now, for one example, too much litigation is a big drag on the economy.&lt;span style="mso-spacerun:yes;"&gt;&amp;nbsp; &lt;/span&gt;Security-wise, we have too much crime,&amp;nbsp;as another&amp;nbsp;example.&lt;span style="mso-spacerun:yes;"&gt;&amp;nbsp; &lt;/span&gt;And lifestyle-wise, we have too much divorce, too many single moms, low savings and low education standards.&lt;span style="mso-spacerun:yes;"&gt;&amp;nbsp; &lt;/span&gt;&lt;b&gt;&lt;span style="color:maroon;"&gt;Schwartz View:&lt;/span&gt;&lt;/b&gt;&lt;span style="mso-spacerun:yes;"&gt;&amp;nbsp; &lt;/span&gt;Any and all ways of running our economy, political system and lifestyles &lt;span style="text-decoration:underline;"&gt;inefficiently&lt;/span&gt; hurts our economic growth, no question about that.&lt;span style="mso-spacerun:yes;"&gt;&amp;nbsp; &lt;/span&gt;But Mr. McRae feels the US will break this negative cycle.&lt;span style="mso-spacerun:yes;"&gt;&amp;nbsp; &lt;/span&gt;And get back on track, living in a more orderly way, rebuilding the family unit, etc.&lt;span style="mso-spacerun:yes;"&gt;&amp;nbsp; &lt;/span&gt;McRae speculates on how this change will happen:&lt;span style="mso-spacerun:yes;"&gt;&amp;nbsp; &lt;/span&gt;&lt;span style="color:blue;"&gt;&amp;ldquo;At some stage, most probably in the second decade of the next century, there will be one of those great radical shifts in US political attitude which take place from time to time, a shift akin to the New Deal &amp;hellip;&amp;rdquo;&lt;/span&gt;&lt;span style="mso-spacerun:yes;"&gt;&amp;nbsp; &lt;/span&gt;Hey, it can&amp;rsquo;t come too soon for me as I rail under the monkey-see, monkey-do atmosphere of Hollywood, the New York Post and Mike &amp;amp; the Mad Dog, crude and rude, using whatever sells, taking no responsibility, gaming the freedeom of free speech, just living off other people.&lt;span style="mso-spacerun:yes;"&gt;&amp;nbsp; &lt;/span&gt;I see this shift beginning no matter who becomes our next president, although I see it really accelerating if presumptive Democratic nominee Barack Obama wins.&lt;/span&gt;&lt;/p&gt;
&lt;p style="margin:0in 0in 0pt;tab-stops:.5in;" class="MsoHeader"&gt;&lt;span style="font-size:x-small;font-family:Times New Roman;"&gt;&lt;/span&gt;&lt;/p&gt;
&lt;p style="margin:0in 0in 0pt;tab-stops:.5in;" class="MsoHeader"&gt;&lt;span style="font-size:x-small;font-family:Times New Roman;"&gt;&lt;/span&gt;&lt;/p&gt;
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