Amine Moulay Ramdane <aminer68@gmail.com>: Dec 29 01:39PM -0800
Hello,
More of my philosophy about cost of living in USA and in the world and more..
I am a white arab from Morocco, and i think i am smart since i have also
invented many scalable algorithms and algorithms..
I have just looked quickly at the video of the following white american women, i invite you to look at it:
https://www.youtube.com/watch?v=DO5x_tJBn7w
I think that this white american women in not thinking correctly, since i think she is not educated correctly, since for example she is saying that the cost of living in USA is high, but i think it is not objective and it is not correct, since the cost living depends on factors such as the diversification of economy and on productivity, for example in third world countries the economy is much less diversified, so this can be not good for cost of living, and here is what i just said about it so that
to make you notice it:
Read the following paper so that to notice how important is diversification of economy:
Economic Diversification in Africa: How and Why It Matters
https://carnegieendowment.org/2021/04/30/economic-diversification-in-africa-how-and-why-it-matters-pub-84429
More of my philosophy about economy and about Morocco and Algeria and more..
So as you are noticing i was speaking, read below, about Algeria,
and you have quickly noticed that the Algerian economic problem comes
from the fact that Algeria is a much less diversified economy than Dubai or than my country Morocco, so i think that Morocco is a much more diversified economy and i think that Morocco is really on the
right path and Morocco is also a beautiful country, since read in the following article of year 2019, it says that the 2019 International Franchise Attractiveness Index ranked Morocco 39 out of 131 states. This made it the number 1 attractive business hub for US-based franchises in Africa and the second in the Middle East and North Africa (MENA) after the United Arab Emirates. This ranking shows it competing with some leading international powers, including France, Spain, Germany and Australia, according to a report by Morocco World News. The index combines peer-reviewed research and a survey of franchise executives to produce two rankings, balanced growth and aggressive growth.
Read more here so that to notice it:
https://www.fairobserver.com/region/middle_east_north_africa/morocco-maghreb-maroc-moroccan-economy-latest-world-news-796983/
More of my philosophy about economy and inflation and more..
I invite you to read the following about how do Governments Reduce Inflation:
https://www.investopedia.com/ask/answers/111314/what-methods-can-government-use-control-inflation.asp
I think that one of the best way to reduce inflation is by reducing the money supply within an economy via decreased bond prices and increased interest rates, and the above web page is speaking about it, but i think
that there is still a problem, since inflation can become problematic if
the product or service become a monopoly, so if the prices of the product or service can not be reduced by for example economies of scale or/and by "competition", so the price of the product or service can be set high and it is inflation on this product or service, so this kind of situation can also lead to an economic war, also inflation still can become a problem like with the drastic fall of the algerian currency called Dinar in Algeria, since Algeria is lacking on diversification of its economy and also was unable to reduce its reliance on food imports, since 70% of the Algeria food requirements are met by imports, so with the drastic fall of the algerian Dinar currency, the price of Food in Algeria was getting high, and the people of Algeria were suffering because of that, and this situation can still repeat itself again and again in Algeria.
Read about it here:
https://www.middleeasteye.net/news/algeria-dinar-record-low-economic-collapse
And here is some measures that i think will diversify much more the economies of arab countries:
1- You have to boost innovation through greater investment in knowledge-
based capital.
2- And you have to strengthen R&D spending.
3- And you have to have stronger links between research institutions
and the private sector.
4- And you can make regulation in services sectors more competition-
friendly
5- And you have to enhance incentives to entrepreneurship.
6- And you have to strengthen the education system.
And here is the other factor that is productivity that affects cost
of living, read my following thoughts to understand:
And read more the following article about the cost of living::
Comparison of worldwide cost of living
https://www.worlddata.info/cost-of-living.php
So as you are noticing that we have also to compare the cost of living between western countries, so i think that USA cost of living is not
so bad compared to western countries, it is at the same cost of living as Canada and it is at around the cost of living of France, also you have to technically know that cost of living depend on the productivity factor, since in rich countries, manufacturing is highly productive, allowing firms to pay high wages and still charge internationally competitive prices. Those high wages also drive up pay in services, which must compete for workers. Since productivity is low in services, high pay translates into high prices, pushing up the overall cost of living.
Read more here so that to notice it:
https://www.economist.com/middle-east-and-africa/2018/03/15/why-africas-poor-pay-high-prices
More of my philosophy about USA and more..
I think i am smart, and i say that USA economy is in good shape,
since first the Financial institutions of USA are generally less vulnerable today than they were before the crisis, with stronger capital and liquidity buffers and a reduced reliance, and in most developed nations banking systems appear reasonably solid, read my thoughts below so that to notice it, also read my following thoughts
about the USA economy so that to notice it:
More of my philosophy about Geopolitics and about USA and more..
So read the following:
"In 2019, exports of goods and services from the United States made up about 11.73 percent of its gross domestic product (GDP). This is an increase from 9.23 percent of the GDP of the United States in 1990.
Jun. 29, 2021"
So as you are noticing that the exports of USA are around 12% of GDP in 2021, and it is a standardized number, so if you say that the problem of USA is that it has to know how to protect its goods and services, i mean that USA has to know how to protect this 88% of goods and services by knowing how to be a smart "protectionism", i think that
it is not the good way and here is what i say about it:
More philosophy about protectionism and USA and more..
I think we have to be careful about protectionism, since read the following:
"Protectionist policies impose an additional cost and loss on all parties. First of all, domestic consumers must pay a higher price for goods. At the same time, importers face a decline in demand, so international jobs are lost. For instance, the US-China trade war meant that US consumers paid a higher price whilst demand for Chinese workers is reduced.
So the Chinese unemployment increases and US consumers pay more. However, the counter-argument is that it saves US jobs and businesses. Now there is some validity to that claim. If the money sent to China doesn't come back in either demand for US goods, or FDI, then the argument can be validated.
However, the reality of the situation is that when a US consumer buys cheaper Chinese goods, that money goes to a Chinese exporter. That money doesn't stay with them indefinitely. It makes its way back to the US through either demand for its goods or in FDI.
What we see as a result is that Chinese demand drives employment in other industries. So jobs that may have been lost in one industry, are being created in another. At the same time, the FDI inflows also create employment in the relevant industry.
Although there is disruption, there is a net positive gain in the long term. Employees will have to shift to new industries, but the average consumer benefits from lower prices. By contrast, the only winner under protectionism is specific domestic workers. However, they too are consumers and consequently lose out too.
Is Protectionism Good For The Economy?
In the long-run, protectionism is not good for the economy. It makes consumers and businesses pay more. And whilst it may protect jobs in the short-term, the economy as a whole would be better served in allowing cheaper imports in. Although this may temporarily destroy some jobs, consumers benefit from lower prices. In turn, the income that would have been spent on the goods before can now be spent in other markets. In turn, employment is stimulated elsewhere in the economy."
Read more here:
https://boycewire.com/protectionism-definition-and-types/
So what is the smart way of doing so that to not be protectionism?
Here it is:
First I think that protectionism is not good, and i think that Trade Adjustment Assistance etc. is a better way of solving problems, so
i invite you to read the following article to know more:
https://theconversation.com/international-trade-has-cost-americans-millions-of-jobs-investing-in-communities-might-offset-those-losses-143406
And read more here about Trade Adjustment Assistance:
https://en.wikipedia.org/wiki/Trade_Adjustment_Assistance
And notice that i think that USA is economically in a good shape, since read my following thoughts so that to notice it
And about the US Debt Crisis, i think it is not so problematic, since USA economy is well diversified and powerful economy that is really resilient, and you can read more about it here in the following article:
The Surprising Truth About the US Debt Crisis
https://www.thebalance.com/us-debt-crisis-summary-timeline-and-solutions-3306288
Also I think that USA will still be a super power in the future, and i say that we can not compare USA to China, since China has many defects like the "productivity" of China is not good both qualitatively and quantitatively, and China has a debt problem, so China is constrained by this factor of its debt problem, so China can not attain the level of
productivity both quantitatively and qualitatively of that of USA in
the near to medium future. But the productivity of USA is good both qualitatively and quantitatively, and China has other problems such as
the quality of education of its workforce is much less than that of USA,
this is why China is also lacking much in productivity both qualitatively and quantitatively. And you can look at the following video so that to understand more:
Why won't China Surpass the United States? - VisualPolitik EN
https://www.youtube.com/watch?v=ZqowS-hlZ3M
Also as I have just explained above, that Donald Trump protectionism
is not good, and i think that Donald Trump was not thinking correctly, since around 85% of jobs losses in the manufacturing sector in USA was caused by automation and not by China or such as were thinking it the people who elected Donald Trump, and you can look at the following video that make you understand that automation also has advantages:
https://www.youtube.com/watch?v=D-rd3kW7Bc8
Following are some of the advantages of automation:
1. Automation is the key to the shorter workweek. Automation will allow
the average number of working hours per week to continue to decline,
thereby allowing greater leisure hours and a higher quality life.
2. Automation brings safer working conditions for the worker. Since
there is less direct physical participation by the worker in the
production process, there is less chance of personal injury to the worker.
3. Automated production results in lower prices and better products. It
has been estimated that the cost to machine one unit of product by
conventional general-purpose machine tools requiring human operators may
be 100 times the cost of manufacturing the same unit using automated
mass-production techniques. The electronics industry offers many
examples of improvements in manufacturing technology that have
significantly reduced costs while increasing product value (e.g., colour
TV sets, stereo equipment, calculators, and computers).
4. The growth of the automation industry will itself provide employment
opportunities. This has been especially true in the computer industry,
as the companies in this industry have grown (IBM, Digital Equipment
Corp., Honeywell, etc.), new jobs have been created.
These new jobs include not only workers directly employed by these
companies, but also computer programmers, systems engineers, and other
needed to use and operate the computers.
5. Automation is the only means of increasing standard of living. Only
through productivity increases brought about by new automated methods of
production, it is possible to advance standard of living. Granting wage
increases without a commensurate increase in productivity
will results in inflation. To afford a better society, it is a must to
increase productivity.
And the education system of USA is not so bad as we can think and you can read about it here:
America's Not-So-Broken Education System
Read more here:
https://www.theatlantic.com/education/archive/2016/06/everything-in-american-education-is-broken/488189/
Also Let's look for example at USA, so read the following from Jonathan Wai that is a Ph.D., it says:
"Heiner Rindermann and James Thompson uncovered that the "smart
fraction" of a country is quite influential in impacting the performance
of that country, for example, its GDP."
And it also says the following:
""According to recent population estimates, there are about eight
Chinese and Indians for every American in the top 1 percent in brains."
But consider that the U.S. benefits from the smart fractions of every
other country in the world because it continues to serve as a magnet for
brainpower, something that is not even factored into these rankings.
What these rankings clearly show is America is likely still in the lead
in terms of brainpower. And this is despite the fact federal funding for
educating our smart fraction is currently zero. Everyone seems worried
Americans are falling behind, but this is because everyone is focusing
on average and below average people. Maybe it's time we started taking a
closer look at the smartest people of our own country."
Read more here:
https://www.psychologytoday.com/us/blog/finding-the-next-einstein/201312/whats-the-smartest-country-in-the-world
So as you are noticing it's immigrants(and there are about eight Chinese
and Indians for every American in the top 1 percent in brains) that are
making USA a rich country.
And read also the following to understand more:
Why Silicon Valley Wouldn't Work Without Immigrants
There are many theories for why immigrants find so much success in tech.
Many American-born tech workers point out that there is no shortage of
American-born employees to fill the roles at many tech companies.
Researchers have found that more than enough students graduate from
American colleges to fill available tech jobs. Critics of the industry's
friendliness toward immigrants say it comes down to money — that
technology companies take advantage of visa programs, like the H-1B
system, to get foreign workers at lower prices than they would pay
American-born ones.
But if that criticism rings true in some parts of the tech industry, it
misses the picture among Silicon Valley's top companies. One common
misperception of Silicon Valley is that it operates like a factory; in
that view, tech companies can hire |
