Friday, March 31, 2006
Boosting DC Revenues
Posted by John at Friday, March 31, 2006 0 Comment
Terrors of a One-Story!
Posted by John at Friday, March 31, 2006 0 Comment
Thursday, March 30, 2006
Communism, not just for the Communists any more
Posted by John at Thursday, March 30, 2006 0 Comment
The Christians and the Pagans sat together at the Table...
Posted by John at Thursday, March 30, 2006 0 Comment
Wednesday, March 29, 2006
News and Views from Dongbei
There are a couple of stories floating around the net that I want to bring up here. I've decided that just citing the post and BBC is probably very little value-added for all my loyal readers out there. I know who each and every one of the 12 of you are!
First, sad news. There was a tragedy in Meihekou, Jilin province.
It was reported in Xinhua, Agence France Press, and a few others. Aparently a friendly card game turned not-so-friendly, and the insulted party came back with a grenade. It went off. 4 people died.
I spent Lunar New Year 3 years ago with a friend of mine and her family. It was a nice town--and it seemed to be on the verge of being able to prosper. Additionally, there is a community of Benedictine Sisters in Meihekou who run a hospital. These things are always terrible to read about. But having been in the town makes it even worse.
In other news, it appears that China may be preparing to annex North Korea. At least this is the position put forward by columnist Han Ki-heung. Following a fall and early winter of positive statements between China and North Korea, he seems convinced that China is attempting to pursue a policy of economically integrating the DPRK into the regional economy of China's North Eastern three provinces of Jilin, Liaoning, and Heilongjiang.
Whether this is true or not remains to be seen, but it is a phenomenon, which if true, is likely to backfire on the Chinese. The South Koreans are remarkably sensative to their position between China and Japan in Asian affairs, "the shrimp caught between two whales." I can only assume that North Koreans--possibly more patriotic and jingoistic than even the Chinese themselves--would take such affront to that type of Chinese action as to spoil the possibility of China and North Korea having reasonable relations into the futre.
Posted by John at Wednesday, March 29, 2006 0 Comment
Drat! One-upped again!
Posted by John at Wednesday, March 29, 2006 0 Comment
Specialized Obsolescence
Global Specialization. How the specialization of market niches is bringing the world closer together—and closer to conflict.
The process of specialization, of the evolution of economies from generalists to specialists isn’t a new phenomenon. It’s not even remarkable. Adam Smith described it/prescribed it in 1776 with the seminal tract on economics. It has been explored and tweaked by the likes of David Ricardo and Allyn Young.
For a long time, large countries had economic advantages over small countries—not just because they were likely to have more resources (the U.S. has more space to fit trees, iron ore, gypsum, oil, and arable land than Ireland does, for example)—but also because the size of the economy allowed for great specialization. The guy the mined the ore didn’t also have to smelt it, and then turn it into a kitchen knife. One person for each process meant that each process was done better (and cheaper) than if one guy did all three processes.
The lowering of international tariffs and the subsequent increase in trade has allowed countries that are not large to specialize and compete with countries that are large: South Korea and Japan have economic power unimaginable based on size, only 80 years ago.
There is a broader problem here that I don’t know is being considered—but I would love it if someone could point me in the right direction to learn more about the thinking that is happening—and that is the consequence of national-specialization on the stability of the international order.
The world, for a long time, consisted of a couple of super powers who did everything well, quite a few middling powers who did many things decently, and a bunch of bottom-countries who might have done one or two things well, but mostly just trundled along from one day to the next. Not so any more.
We have ultra-specialist countries/jurisdictions now in several sectors.
Hong Kong, Singapore, and Dubai are international Trade specialists. The Swiss, and Caymans do banking. India is cornering the market on anything between front desk and delivery-of-finished product. Countries in the Gulf region are specialists in Energy. Korea and Japan are specialists in electronics and automobiles. China specializes in low-cost consumer goods. Insofar as it has a specialty, the United States specializes in information: collecting it, storing it, analyzing it.
What concerns me here is that we are moving towards conditions for monopoly. Just like JP Morgan built an unprecedented financial empire over a century ago because he had the most control over a highly desired commodity within a single market—Oil in the U.S.—the specialization of the world’s countries makes it increasingly likely that one of them, by design or by coincidence, will start exerting undue influence over the world.
Posted by John at Wednesday, March 29, 2006 0 Comment
Too little, too late?
"Then he talked about the developing ; social unrest. People can no longer afford to go to the doctor; doctors are constantly receiving kick-backs from the pharmaceutical companies to prescribe the most expensive medicines and from the hospitals to prescribe CAT scans and X-rays that the poor cannot afford. Housing is becoming prohibitively expensive and developers just move into areas, pay off local government and party people and take over land that has been part of families’ and community holdings for generations and the poor are left with no place to go... A fascinating evening with a really great guy who has a tremendous heart."
Posted by John at Wednesday, March 29, 2006 0 Comment