Friday, January 20, 2017

On drug price gulging

There are always two sides of a story.

1. Those who acquire a drug company and double the price should be sent to jail. That young kid's ego does not let his big mouth shut, so he is the stupidest CEO.

2. If we do not give the drug companies reasonable returns, we will not have research for better drugs. Remember: Not all drugs are successful and drug research is very expensive.

Joke of the day

Biden is taking the train back home. He may be feeling isolated and hungry (not invited for lunch). Can we see him in the unemployment line with thousands of his former co-workers? Some may be lined up for jobs from the companies they gave favor to.

Thursday, January 19, 2017

Trumpology (my silly term)

I'm politically neutral and tend to argue against the current government's mis governance. I expect a lot of protests during the inauguration. Hopefully all would be peaceful. Give peace a chance and also at least a short honeymoon period for Trump.

Usually I am against the unfilled promises of politicians. This time I take a different stance as some of Trump's ideas are just not practical. Here are my points and I add solutions to some.

1. ObamaCare. It shifts too much burden from the low class to the middle class. I hope it will be enhanced and not taking it out - a very expensive process. Using "Obama" is a mistake to start with.

We should consider how to pay for it first and how to reduce the costs as described in my blog.

2. We need to abandon some labor-extensive jobs. A $20 wage can never compete with a $2 wage. We cannot blame China on this as many of these jobs are being moved to countries with lower wages.

3. No need to build the border wall. How hard to dig a 10-feet tunnel? Just punish employers hiring illegals. The fines from the employers are incomes as opposed expenses in building the two walls (one in Mexico and one in Canada). The Mexicans will pay for the wall if we give them double the money under the table (has been done many, many times).

However, illegals are taking jobs even the able welfare recipients do not take. We need to encourage folks to work.

4. We cannot borrow money and raise our national debt irresponsibly forever. It will reduce our competitive edge. Have we learned anything from Greece?

5. Climate change has two opposing theories. However, it is better to trust the damage of pollution than not.

6. We need to end the wars and not to start another one. With the endless wars, we can never balance our budget. We have too many problems to fix at home.

7. China, Russia and the US are three powers that should work together than confront with each other. The global economies have been integrated better than ever. Free trade has more advantages when all participants play fairly.

All countries to some extent are currency manipulators and protectionists including the US.

Today, China does not want to be the global leader/bully or "Ba" in Chinese. We can make China a friend or a foe.

8. How will Trump finance the infrastructure projects? Our national debt is over 100% of our GDP and revenue will be reduced via the proposed tax cuts.

9. The proposed 45% tariff would drive the world including the US into a depression. Click here for my opinions.


Related article: Risk wars with China.



USPS

ALL (not a typo) government departments/agencies are not run efficiently.

If USPS were good, they would not lose their jobs to UPS. Many stupid defenses for them and I bet they are written by their officers.

It is the same as countries such as India and utilities. With protectionism, you lose your competitive edge.When they raise the postage again, you will not receive a X'mas card from me.

If USPS were run as a business, it will make money even with a 39 cent stamp. Specifically,

1. Reduce losses in unprofitable operations, such as requiring self pick up in remote areas.

2. Pay the employees what the market pays. What are UPS salaries for similar jobs?

3. Protect profitable operations - shipping parcels for Amazon for example. UPS eats their cakes.

I can come out what some basics without even thinking. The decision makers there must be sleeping too much. They think it is a protected agency and why they want to change anything which could affect their generous pensions paid by us!

Wednesday, January 18, 2017

Today's financial news

* South Korea was the other non-corrupted country besides Japan - Hong Kong is not counted.

* Is HSBC leading the multi national corporations to move their HQs from Britain?* As stated, all countries are currency manipulators.

* From my view, Obama is a great communicator and Regan is the other one I can think of. I like Michelle a lot. Obama saved the stock market at the expense of the national debt. Not great in handling global affairs. ObamaCare will fail due to shifting too much burden to the middle class. I'm glad that we have a black (actually half black) leader.

* Trump does not have a honeymoon period and he could be the only one.

* I stay away from casino stocks. They have too many debts and the China's policy of suppressing corruption changes the Macau's profit potential - hope someone had taken my advise at the time. China should look at the rich kids buying expensive cars with cash.

Tuesday, January 17, 2017

Today's financial news

* Is Britain setting up a precedent for other EU countries - leaving some co-operating and some not?

* Oil price moves short-term by traders and long-term by fundamentalists which I'm one.

* ObamaCare fails because it moves too much burden from low class to middle class.

* We used to play China card against Russia. Most likely China will play Russia card against us. The trade between them is mutually beneficial besides the proximity.

* The eye glass industry merges so they can monopolize the high-end market. Are the regulators blind?

* China AI is important due to the hardship to input Chinese characters - there is no Chinese alphabet. However, I see many can input very fast on their phones.

* Not surprising President Xi is in the forum. He may preach his "One Belt, One Road" project.http://bit.ly/2iwhW6o

Monday, January 16, 2017

Risk of war with China.



I read several articles why we want a war with China. Many arguments are not valid. I summarize here with my own arguments.

# China is a communist country

China is ruled by a party with handful of decision-makers. It is more capitalist than us: When you do not work, you die. Every political system has its strengths and weaknesses. When they do not harm us, we should leave them alone. Is the current Vietnam a threat to the world peace today?

Our major strength is our Constitution, which leads us to transfer the power without bloodshed. Our major weakness is a bi-political system but it is also a strength too. If our president and the majority of the Congress do not belong to the same party, we are wasting time in arguing who is on top. I prefer our system over China. I despise communism as it makes her citizens lazy – why you want to work harder when everyone is paid the same?

# No freedom in China

However, comparing to 30 years ago, freedom grows by leaps and bounds in China. At that time no one wanted to speak anything bad against the government. As long as China is heading to the right direction, it is fine with me.

There are many countries having even worse record on human rights than China, should we send soldiers to ‘liberate’ them? Freedom takes a back seat to food, shelter and clothes. “Live free without food” is a fool’s game.

# What is the intention of China’s rising military spending

Should we ask the same question ourselves to our own government? We do not know their actual spending, but our military budget is more than the next five countries combined. Our missiles can wipe out the entire world with a press of the button. Our weapons are the most advanced with jet fighters and jet carriers with dual nuclear generators.

# We need to liberate the suffering of Tibetans & other minorities

Should we ‘liberate’ the blacks and the Red Indians first? Check out Detroit or any Indian reservation. Except the suppression of Tibetan monks a long while ago, China gives more to Tibetans than she receives and they never have the ‘one-child policy’. In the days before the ‘liberation’, only monks can get an education. Every city I went in Western China, Chinese preserve their cultures.

According to a survey, Chinese netizens are more pro America than China. They’re not completely correct as most do not understand American politics. Most countries have their own problems. Let them fix their own problems.

# China is rising

Why we have to suppress others from passing us? Actually they have a long way to pass us. Should we risk wars with Europe when they’re rising? Does the dying patient care about whether a life-saving drug is from China? Do you prefer a rising China or a nation of 3.5 billion begging for money?

Our leaders want to be #1 and China has never claimed to be so. Our military generals and the CEOs of offense corporations want us to go to war with any country in order to protect their interests or to hide their inability to fix our problems.

# China is aggressor

Throughout history China has been more a victim than an aggressor especially in the last 300 years.

Taiwan’s Chiang at one time wanted to conquer China to recover the lost kingdom. In a way, he acknowledged Taiwan was part of China. If there is a war between China and Taiwan, it would be a civil war.

The islet disputes in China Sea should be settled diplomatically. Recently the president of Philippines toned it down after receiving billions of loans from China. 

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This is a chapter from my book "Can China Say No?". Click here for more info.