The Secret of Achhe Din -US WAY OF LIVING MUST READ

The Secret of Achhe Din ! 👇🏽👇🏽👇🏽👇🏽 I am forwarding an interesting story, STRANGE but TRUE, about world economy. Amazing logic indeed.! This is an interesting article written by an Indian Economist. Japanese save a lot. They do not spend much. Also, Japan exports far more than it imports. Has an annual trade surplus of over 100 billion. Yet Japanese economy is considered weak, even collapsing. Americans spend, save little. Also US imports more than it exports. Has an annual trade deficit of over $400 billion. Yet, the American economy is considered strong and trusted to get stronger. But where from do Americans get money to spend? They borrow from Japan, China and even India. Virtually others save for the US to spend. Global savings are mostly invested in US, in dollars. India itself keeps its foreign currency assets of over $50 billion in US securities. China has sunk over $160 billion in US securities. Japan's stakes in US securities is in trillions. Result: The US has taken over $5 trillion from the world. So, as the world saves for the US - It's The Americans who spend freely. Today, to keep the US consumption going, that is for the US economy to work, other countries have to remit $180 billion every quarter, which is $2 billion a day, to the US! A Chinese economist asked a neat question. Who has invested more, US in China, or China in US? The US has invested in China less than half of what China has invested in US. The same is the case with India. We have invested in US over $50 billion. But the US has invested less than $20 billion in India. Why the world is after US? The secret lies in the American spending, that they hardly save. In fact they use their credit cards to spend their future income. That the US spends is what makes it attractive to export to the US. So US imports more than what it exports year after year. Result: The world is dependent on US consumption for its growth. By its deepening culture of consumption, the US has habituated the world to feed on US consumption. But as the US needs money to finance its consumption, the world provides the money. It's like a shopkeeper providing the money to a customer so that the customer keeps buying from the shop. If the customer will not buy, the shop won't have business, unless the shopkeeper funds him. The US is like the lucky customer. And the world is like the helpless shopkeeper financier. Who is America's biggest shopkeeper financier? Japan of course. Yet it's Japan which is regarded as weak. Modern economists complain that Japanese do not spend, so they do not grow. To force the Japanese to spend, the Japanese government exerted itself, reduced the savings rates, even charged the savers. Even then the Japanese did not spend (habits don't change, even with taxes, do they?). Their traditional postal savings alone is over $1.2 trillion. Thus, savings, far from being the strength of Japan, has become its pain. What is the lesson we have learnt ? Dr. Jagdish Bhagwati, the famous Indian-born economist in the US, convinced Manmohan Singh that Indians UnGainfuly save. Ask them to spend, on imported cars , electronics, fancy mobiles, even on cosmetics -- whatever !! This will put India on a growth curve !! And Manmohan Singh opened up the flood gates. And sent a silent message - 'Saving is sin, and spending is virtue.' This is THE reason for MNC's coming down to India, to enhance the consumer spending. And mind you, they not only came , but came with LOADS of money. They pumped in Billions & Trillions of Dollars into the Indian Enterprise, even the start-Ups ! And just see how the Indians are ALLURED with the daily Full Page advertisement galore ~~ Malls, Mobiles, Flipkarts & Snapdeals & Amazon, Sleek cars with Sexy models and "attractive" discounts, , et al - the works !! There are more full page colour advertisements in your morning newspaper than the actual News !! ( an innocent question - where is this money coming from ?? ) Not only have they have succeeded in making Indians SPEND LIKE THE AMERICANS, and that too not only with the foreign money ( which in any case needs to and WILL go back to them ) but also with own Indian money , have managed to flush out the GREAT INDIAN SAVINGs !! We , especially the current new generation, have successfully been convinced to SPEND MORE & SAVE LESS !! And not just spend, but "borrow" and spend. A WIN-WIN SITUATION, TAILOR-MADE FOR THE INDIAN FUNDs TO FLOW OUT - LIKE JAPAN. AND WE DON'T EVEN REALISE !!