The fiscal future for young people in the United States is bleak. The promises we have made to retired people (through Medicare and Social Security) are going to swamp the federal budget in a short time. The rating agencies will eventually downgrade US government debt because we have no plans to pay for our entitlement programs; and long term interest rates will rise as markets punish our inaction.
I will award $100 to the best "plan B"--identify the best country or location to wait out the decline and fall of the US Empire. Post your (less than 100 word) entry as a comment to this post, and my Managerial Economics students at Vanderbilt will select a winner. A winning country will not be facing the same kind of fiscal disaster that awaits young workers in the US; and be a good place to live and work.
DEADLINE: 1 December 2009.
I propose New Zealand…
ReplyDeleteThis beautiful country has a natural ocean barrier that serves to protect it from invaders and refuges that will undoubtedly rush to safe havens once the US collapses. With free property rights, the ability to start a business in approximately 12 days, and a healthy production base of meat, dairy and fish, this island paradise will allow you to sustain the means of production during a global collapse and move assets to higher value uses with ease. Ranked 6th in the Heritage Foundation’s Index of Economic Freedom, this country is both breathtaking (As seen in the Lord of the Rings) and financially sound.
*Data was found on Wikipedia and the Heritage Foundation
I'm choosing the Philippines. Low cost of living, you can get a lot for your money and taxes seem fairly low.
ReplyDeleteNo country for young men.
ReplyDeleteI suggest Liechtenstein. More corporations than people, low taxes (tax haven), relatively stable politically, in the heart of Europe (if that is a good thing), and not on anyone's radar. The Swiss Franc (currency used) is independent to the dollar and the Euro, and trading to our advantage.
ReplyDeleteThe collapse of the American empire in our current global economy will surely lead to a collapse of the world economic system, therefore i choose Costa Rica where the drinks are cheap and so are the women. Now if i can just find something to barter with.
ReplyDeleteI'm going to recommend the island of Yap:
ReplyDeletehttp://en.wikipedia.org/wiki/Yap
Home of the large stone coins known as Yap. No more stones are being produced, so you don't have to worry about inflation eating your purchasing power up.
Plus you don't have to worry too much about subprime mortgages when people live in grass huts.
Ameri-Can - Here is the deal. Americans are lazy. We don't want to move anywhere. We want to improve things here with no effort on our part. There is only one option as I see it. INVADE CANADA. Why? 1) Plentiful natural resources to exploit. 2) Easy pickings - give some weapons to the Quebequoi and they will do the invasion for us. 3) A population used to paying high taxes - now lets put them to work for us. 4) The bordering states are depressed (upstate NY, Gary, In, Detroit etc.) pay UAW workers as mercenaries and have them walk across the border. 5) It is unexpected! Other countries will go wow, those crazy Americans we better watch out. 6) Al Gore and global warming - if true Canada might actually be someplace we want to live. 7) They have been free-riding off our investments / military for too long. Time to pay up.
ReplyDeleteWhere is my $100?
Singapore. The country has an educated and hard-working population - almost none of whom are obese - a sensible health insurance program, and is located near the population centers of China and India that will be the drivers of economic growth in this century. Most Singaporeans speak Chinese, which enables them to do business with China more readily, and knowledge of English is widespread, which not only gives them an economic advantage, but also enables the American expatriate to live and work there. The country has a high degree of economic freedom which, coupled with the savings and work habits of the citizenry, means that they will not only prosper but are unlikely to do anything politically in the future that will jeopardize their prosperity. Last, but certainly not least in importance for single American men, the women in Singapore are gorgeous.
ReplyDeleteNew Zealand, with rationale from National Review: The National party, Kiwi conservatives, will lead New Zealand’s new government. And there’s even better news from down under: The National government will be joined by five members from the ACT party, arguably the most free-market outfit to hold seats in any of the world’s parliaments. (The name originally stood for Association of Consumers and Taxpayers.) ACT’s platform includes Gingrich-style welfare reform, a flat tax, and closer relations with the U.S. and the rest of the Anglosphere. And so the world turns: With Merkel in Germany, Sarkozy in France, Berlusconi in Italy, Harper in Canada, and Cameron ascendant in the United Kingdom, America under the triumvirate of Obama-Reid-Pelosi stands to have one of the most left-wing governments among the world’s major powers. Suggestion to Republican strategists: Vacation in Wellington.
ReplyDeleteI recommend the United Arab Emirates (UAE). This country has an open economy with the 5th highest GDP per capita in the world. The country's Free Trade Zones offer 100% foreign ownership and zero taxes that have attracted an enormous amount of foreign investment. To become less dependent on petroleum and natural gas, the government has invested effectively to transform UAE into the financial, transportation, and tourism capital of the Middle East. An expatriate would have no problem finding highly-paid employment and get to live and work in a secured, stable and westernized country with a very high standard of living.
ReplyDeleteFlorida.
ReplyDeletePlenty of open land full of game, rivers and lakes full of fish, a year-round growing season, and potable water no less than 50 feet deep at pretty much any point in the state. Lax gun laws so you can stock up on hunting and defense weaponry. And conveniently located at the edge of the nation, so any chaos and horror will mostly pass it by -- and if things get too bad you can always hop a boat and sail to the islands.
Brazil is the best "Plan B" country. Its governmental structure resembles the United States' with a bicameral congress, state and federal legal systems headed by a supreme court, and an executive branch that completes the balance of intra-branch checks on power. Economically, Brazil enjoys a positive trade balance with advantages and competencies in agricultural, manufacturing, and service sectors which are attractive to foreign investors. Brazil’s tropical climate is ideal for growing ethanol-yielding sugarcane which allows it to decrease its dependence on imported energy. Aesthetically, Brazil is replete with tropical forests and beaches, diverse wildlife, and varying terrain for outdoor activities.
ReplyDeleteI would like to petition for the disqualification of the November 27 post advocating for Singapore November 28 post advocating for New Zealand as violations of the "100 words or less" rule.
ReplyDeleteI choose the good ole U.S. of A. The fiscal crisis you speak of will never happen, but there might be a social crisis instead. Faced with the collapse of the US dollar and along with it the global financial system, young, healthy people will, in droves, decide that it is better to just let old and poor people die. Sorry grandma, that's life. The unfunded liabilities go away the moment the Social Security age goes to 90 and people have to pay for their own healthcare. Faced with those prospects, the national savings rate instantly goes up, and obesity goes way down. Bingo, America restored to Utopia. Might it take rioting, etc on the part of young voters? Maybe. But count me in - I probably won't have anything better to do.
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ReplyDelete