Saturday, December 29, 2012


So this blog survived the apocalypse. Boo the Mayans!

But we're approaching the end of another year. In the midst of more (economic) uncertainty, I hope 2013 will be a better year for all of us.

The world is pretty much border-less already. At least for money anyway. Goods are still subject to few restrictions and duties, but you can get pretty much anything from anywhere nowadays. Unless you are importing bombs or some radioactive materials.
As the world become borderless, so is the government control over its subject. One who does not like one's government's rules and regulations can simply go somewhere else. Just like FBs Saverin, and a few other billionaires who moved to Singapore, or the French who move to London because of Hollande's tax policy.
The same can be said in economic and monetary sector, the world is so closely connected and linked today that every individual government's policy will eventually affect the other nation, whether they like it or not.

Beneficial policy (at least for the taxpayer) like low tax rates in Ireland and Singapore, attracts talents and corporation. Countries who wants advance their ranks therefore have to compete by issuing even better policy. And this is a good thing for the global citizen.
On the flip side, this global competition have side effects, for instance, with the Fed pumping money into the economy, they have effectively exporting inflation to other countries. Some analyst worried that this will spark currency wars.

I will end my ramblings for now. Two posts in a day is a bit too much, and on Saturday even!

No comments: