The oil and food prices for importing into the U.S. are increasing rapidly. Now that the nuclear emergency has scared countries into shutting down the construction of new power plants, they are trying to import as much oil as possible in order to continue powering their country. Food prices are going up as well because the United States used to import a great deal of their food from Japan, and now that there is possible radiation isotopes in the Japanese foods, the prices to import are higher. The Japanese yen was 83.8 per $1 before the disasters, after March 11, the yen is now only worth 76.3 per $1. Because the Japanese held $882 billion in U.S. securities at the end of 2010, China surpassed Japan in September, the U.S. government is continuing to acquire even more deficits and maintain a low national savings rate, we have to rely even more so on foreign creditors to help us manage the debt. The U.S. treasuries should diminish the holdings to financial reconstruction in Japan. The United States interest rates are predicted to rise because of the capital flows with Japan and China.
www. naturalnews.com
Nanto, Dick K., William H. Cooper, Renee Johnson, and Michael J. Donnelly. "Japan's 2011 Earthquake and Tsunami Economic Effects and Implications for the United States." SIRS Researcher. Web.
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