Saturday, December 22, 2007

Is America getting into some Trouble?

Ok, so I was checking out yahoo finance the other day and read that apparently there have been some major investments in the United States from China. Right now, China is investing in America more than America is investing in China. Good you ask? Well that all depends. If China invests in America, then they are establishing that they will not risk"problems" with America because their money is at risk. One analyst even points as far to say that it would be a good thing if Middle Eastern nations were investing in America because they would want their investments to increase in value and not want to risk not supplying oil. The problem, is that if we are not investing back though we do not have to worry about the other nations. In an ideal situation, our investments would be equal to each others, but this is not happening.

What can happen? Well if American businesses began to be bought out from other investors around the world it will make us dependent on other economies, even though we already are, it will make us even more dependent. The problem though, is that if we do not invest back what is going to happen?

Will it turn out ok, will it all end up bad, or we will just have to wait and find out?

http://www.usatoday.com/money/world/2005-06-21-china-usat_x.htm

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