ON THE WALLABY- 19th October 2006

"America did not invent human rights. In a very real sense, it is the other way around. Human rights invented America." - Jimmy Carter - (1924- ) 39th US President

PETER COSTELLO’S CALL FOR ASIAN NATIONS TO DIVERSIFY THEIR US INVESTMENTS

An article appeared in The Sydney Morning Herald__ earlier this week and it was not until I read the other article (that you also can read by connecting on the hyperlink below), that the enormity of just how fragile the US is financially, and literally very much at the mercy of China, Russia and Iran, came home to me.

I have been reading in overseas financial news for some time of the growing amounts of Asian money in America but when, as the articles author ( a retired Brigadier-General, former head of the Philippines Armed Services and their Intelligence Service) makes the point below, then you have to take notice.

He wrote “China is now the biggest holder of foreign exchange reserves in the world, accumulating $941 billion as of June 30 and expected to exceed a trillion dollars by the end of 2006 - a first in world history. A decision by China to shift a major portion of its reserve to the euro or the yen or gold could trigger other central banks to follow suit. Nobody would want to be left behind holding a bag full of dollars rapidly turning worthless. The herd psychology would be very difficult to control in this case because national economic survival would be at stake.”

Add this to some other valid points he makes and boy, if I were a US citizen, I would certainly be asking Congressional and Senate candidates some very hard questions on this subject.

As much as President Bush, Rumsfeld and others have taken the Iraqi and Chinese for “ new civilizations” (and in the process showing their abominable sense and knowledge of history), patience is a word the Chinese have known and practiced it for millennia. America will overlook that trait at enormous cost and peril.

The article can be found at http://www.informationclearinghouse.info/article15347.htm and I can tell you, in the two parts it comprises, it will make you really think about our time ahead!

Carpe diem

Tony

Tony Fountain

Professional Speaker, auctioneer and author

Sydney NSW Australia

If you would like to subscribe a friend or colleague to these free “On the Wallaby” email bulletins, click here and place their email address in the subscription box .