Staggering Financial Illiteracy. Project Syndicate Journal of Establishment Self reference.

This is a level of monetary Ignorance quite staggering considering the melt down of 2008. Savings have nothing at all to do with Capital formation in the modern financialised economy . Banks are originators of Credit, this Bank of England research paper explains it very well and a Click on this Professor Richard Werner Link will probably yield a little surprise for this view of political economy

.http://www.monetary.org/wp-content/uploads/2016/03/money-creation-in-the-modern-economy.pdf



http://www.bankofengland.co.uk/publications/Documents/quarterlybulletin/2014/qb14q102.pdf

http://dx.doi.org/10.1016/j.irfa.2014.07.015


The same can be said for the US’s overall external deficit. Unless the US can boost its savings rate relative to its internal investment needs, it will continue to need foreign capital inflows. And this, in turn, will require it to maintain a trade and current-account imbalance.

Jim O'Neill, a former chairman of Goldman Sachs Asset Management and former Commercial Secretary to the UK Treasury, is Honorary Professor of Economics at Manchester University and former Chairman of the Review on Antimicrobial Resistance.



Trade Truths for Trumpians and Brexiteers


LONDON – Here’s a reality check for British and American policymakers, and for the many pundits who frequently comment on world trade without understanding its realities: data on Germany’s total exports and imports in 2016 indicate that its largest trading partner is now China. France and the United States have been pushed into second and third place.
This news should not come as a surprise. I have often mused that, by 2020, German companies (and policymakers) might prefer a monetary union with China to one with France, given that German-Chinese trade would likely continue to grow.



Recent data indicate that Germany's largest trading partner is now China, rather than France. This news should serve as a reality check for protectionist policymakers in the UK and the US, and for the many pundits who frequently comment on world trade without understanding its realities.

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