Comments on: Counterparties http://blogs.reuters.com/felix-salmon/2011/04/15/counterparties-341/ A slice of lime in the soda Sun, 26 Oct 2014 19:05:02 +0000 hourly 1 http://wordpress.org/?v=4.2.5 By: frit http://blogs.reuters.com/felix-salmon/2011/04/15/counterparties-341/comment-page-1/#comment-25825 Fri, 15 Apr 2011 15:04:36 +0000 http://blogs.reuters.com/felix-salmon/?p=7950#comment-25825 “More importantly, China needs either to privatize its SOEs, so that their profits become income for households, or to tax their profits at a far higher rate and transfer the fiscal gains to households.” SOE – state owned enterprises. This is curiously like the situation in the US with the financial markets which soak up far to great a share of GDP. Although of course in our case noting is actually produced, and they probably should have been nationalized, at least temporarily.

What happens here if, as Roubini so convincingly argues, China suffers a hard landing in the next few years?

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By: frit http://blogs.reuters.com/felix-salmon/2011/04/15/counterparties-341/comment-page-1/#comment-25824 Fri, 15 Apr 2011 15:04:35 +0000 http://blogs.reuters.com/felix-salmon/?p=7950#comment-25824 “More importantly, China needs either to privatize its SOEs, so that their profits become income for households, or to tax their profits at a far higher rate and transfer the fiscal gains to households.” SOE – state owned enterprises. This is curiously like the situation in the US with the financial markets which soak up far to great a share of GDP. Although of course in our case noting is actually produced, and they probably should have been nationalized, at least temporarily.

What happens here if, as Roubini so convincingly argues, China suffers a hard landing in the next few years?

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By: KenG_CA http://blogs.reuters.com/felix-salmon/2011/04/15/counterparties-341/comment-page-1/#comment-25815 Fri, 15 Apr 2011 06:59:39 +0000 http://blogs.reuters.com/felix-salmon/?p=7950#comment-25815 It wasn’t bad architecture that killed Flip, it was bad management (Cisco’s). Why Cisco is shutting them down, as opposed to selling them, is unknown (is Chambers trying to prove he can make difficult decisions?), but Pogue’s idea that they only wanted it for their technology is way off. They paid $590M for Flip, and the technology wasn’t worth 1% of that. Their value was their brand and the niche they created, and cisco just decided they don’t care about that stuff any more.

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