Any Definite Numbers on Foreign Direct Investment Commitments?

william the wie

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Nov 18, 2009
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OK, assuming a multiplier of five the expected two Trillion net of repatriated funds will increase GDP by @ 50% to $27-30 Trillion. (Time frame unknown, guesstimated 2-5 years by me.) That in turn will drive FDI (foreign direct investment). So let me low ball this if Trump's plan only matches the Reagan, which it should exceed quite handily due to greater concentration on deregulation we should hit 8% GDP growth or greater by July 2019. That should attract $2-5T FDI, which will lead to growth in the double digits by election day 2020. What is wrong with this picture? Something this obvious should be possible in much of the world except for the deregulation. So why is Japan the only other country in the world to have pulled this off?
 
OK, assuming a multiplier of five the expected two Trillion net of repatriated funds will increase GDP by @ 50% to $27-30 Trillion. (Time frame unknown, guesstimated 2-5 years by me.) That in turn will drive FDI (foreign direct investment). So let me low ball this if Trump's plan only matches the Reagan, which it should exceed quite handily due to greater concentration on deregulation we should hit 8% GDP growth or greater by July 2019. That should attract $2-5T FDI, which will lead to growth in the double digits by election day 2020. What is wrong with this picture? Something this obvious should be possible in much of the world except for the deregulation. So why is Japan the only other country in the world to have pulled this off?
The key is going to be the proper braking device to hold growth just right to prevent hyper inflation. Because at 8% percent GDP we are going to have it. A solid brake that would garner the greatest votes would be a rise in SS.
 
There are two ways to control inflation and they are taxes and interest rates.
Hopefully by now we have learned to do it right.
 
There are two ways to control inflation and they are taxes and interest rates.
Hopefully by now we have learned to do it right.

I kind of doubt it. To take your avatar as an example Reagan thought he made several policy errors.

1) Delaying the implementation of his corporate tax cuts.

2) Not straightening out the implementation of his immigration deal.

3) Striking out on the S&L mess that began under Carter.

Then there were the non-obvious errors of the time:

1) Picking the Wrong successor in Bush.

2) Not reducing regulation sufficiently.

3) Not having seen the future Chinese miracle he couldn't use it as a guide.

Trump has corrected for all of these errors as much as he can but Pence, for example, may be too old to succeed him and there are a host of other possible problems where no one knows the answer. So, I share your hope but not your confidence.
 

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