Financial Power Shifts Away From U.S.

[Judi Lynn]

Financial Power Shifts Away From U.S.
Oxford Analytica 02.15.07, 6:00 AM ET

Increasing market liberalization and the development of European Union and Asian capital markets are undermining New York's position as the premier provider of global finance.

The relative weight and competitiveness of financial centers in the global economy is a major concern for national and local policymakers. In recent years, London, New York's main competitor, has been attracting more business and generating more financial sector jobs.

A recent report claims competition between financial centers is increasingly a function of access to talent and regulatory and legal environments. There is increasing concern that the United States is losing on both counts due to increasing legal and regulatory constraints and restrictive immigration laws:

1. Sarbanes-Oxley. A majority of business leaders interviewed for the report believe the Sarbanes-Oxley Act of 2002 has helped improve corporate governance, transparency and accounting standards in the United States. However, many are also concerned that the costs of compliance may be discouraging foreign firms from listing in the United States in favor of markets such as the United Kingdom, where costs of compliance are lower.
(snip/...)

http://www.forbes.com/leadership/managing/2007/02/14/sarbanes-oxley-finance-biz-cx_0215oxford.html

[Doondoo]

1. Decades of giant trade deficits have made it inevitable

[youngdem]

2. I love that our Corporatocrazy Czars are quick to blame Sarbanes-Oxley

Instead of blaming a weak dollar, lack of universal healthcare, poor math and tech education, poor international relations, anti-Americanism, near constant corruption scandals involving executive behavior, poor domestic manufacturing quality and greedy, self-serving executives who are hired by a company only to be raided of all of its cash by the executive suite.

Nooooo, it couldn't be any of the above, it MUST be the only effective reporting law with teeth is scaring off foreign investors and companies looking to plant a flag.

It must be that companies from Europe and SE Asia aren't used to cumbersome governmental rules meant to insure fair behavior

:eyes:

[Robbien]

3. SoX is blamed for everything

It is the current whipping boy of the robber barons.

EU and Asian companies have far more regulations and oversight.

[bemildred]

4. Our "leaders" would rather rule in the rubble than give up power.

The public interest means doodle to them, and we will have to kick their asses out if we want it addressed.

[sinkingfeeling]

5. The national debt, falling US dollar, and unending war will see more than financial power

shift away from the US. Within 50 years, we will be a second-rate country.

[kineneb]

6. rapidly declining

I don't think we will have to wait 50 years. Add up: the loss of manufacturing, decaying infrastructure, massive personal and national debt, inconsistent educational system, etc., etc.. and we have maybe 10 years with which to work. After that it is all downhill.

I think an economy is like a house. Neglect the basic frame, plumbing, etc. for long enough, and the whole thing collapses. The damage of neglect has been done and no one seems to notice. Now we just start waiting for pieces to fall apart and fall to the ground.

[indepat]

7. Add the Federal government's inability or unwillingness ('pukes) to meet its future

obligations, such as social security and Medicare and god know what else, the house of cards will fall and the shit will hit the fan much sooner than one generation away in my view. The exact timing is hard to figure for we do not know for how long others will be willing to finance our insane and monstrous twin deficits and that almost a trillion dollar a year defense establishment. But do not worry, the top one or two percent of the most affluent will have multi-trillions of dollars salted away to tide them over and even if the dollar is devalued even 90%, they'll get by. Most of the rest of us face some real hard times down the road. :(

[Acadia Blue]

8. Reagan, Bush I, Clinton, Bush II...with their trade philosophy they

have created this mess. Bill Clinton lobbied for NAFTA. Not too many Dems know that. He could have vetoed it and save millions and millions of jobs. And remember that it was supposed to create tech jobs. Well they are going to China and India too. Thank you repigs and oh, thanks most of all Bill.