U.S. says to negotiate services trade pact with EU, Japan, others

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MikeBarnett wrote:

Brazil, China, India, and Russia are correct to avoid the discussions because the financialization of the US economy has led, and continues to lead, to its downfall. Telecommunications, computer services, and express delivery are good topics for negotiations and agreements. The loosening of rules for financial and insurance instruments create new forms of gambling that increase risks through excessive hedging in funds and derivatives that cannot be repaid from the assets allegedly being “insured” against loss. $1 billion in assets should not have $100 billion is so-called insurance instruments. At some point, the alleged “insurances” will exceed the entire asset value of nations, and the real returns on investments will fail to reach the costs of insuring these investments. At that point, the entire financial systems of the excessively insured nations will begin to fail.

Jan 15, 2013 3:46pm EST  --  Report as abuse
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