To its credit, the United States (at least officially) seems to welcome an influx of capital from overseas. In contrast France is warning foreign investors to not buy stock in Societe Generale. Societe Generale, a French bank, is aparently in financial trouble.
http://www.chinapost.com.tw/news/2008/01/30/141104/France%2Dwarns.htm
I am an eklektarchist not an anarchist.
Educational Pamphlet Mises Group
Ah yes... the bank must remain French. French and insolvent.
I'd like to remember American and Asian users of this forum that President Sarkozy's government is universally considered to be right-wing by European standards.
Also remember the immense Parmalat fiasco. The society should have gone bankrupt, yet Prime Minister Berlusconi's government (again a staunch right-winger by European standards and self proclamimed "libertarian") saved it at the last minute by passing an ad hoc law providing financial and legal protection at taxpayers' expenses.
L. Ron Hubbard of Scientology fame prophetized in the '30s that there will come a day when the Red Flag will fly over Westminster while the Two-Headed Imperial Eagle will fly again over the Kremlin. he wasn't too far off.
Kakugo: I'd like to remember American and Asian users of this forum that President Sarkozy's government is universally considered to be right-wing by European standards.
Very true. The whole spectrum (or diamond if you prefer) of political ideologies varies greatly from country to country. One of the strangest things in this regard from an American perspective is that the "Liberal" party in Australia has a political ideology that Americans call "Conservative."
Kakugo: Also remember the immense Parmalat fiasco. The society should have gone bankrupt, yet Prime Minister Berlusconi's government (again a staunch right-winger by European standards and self proclamimed "libertarian") saved it at the last minute by passing an ad hoc law providing financial and legal protection at taxpayers' expenses.
This is a case where forien capital could have saved the day. Itallian food is VERY popular in the United States and I am sure some American food company would have been more than happy to invest in the company so they could import Itallian goods into the United States.
ryanpatgray: Kakugo: Also remember the immense Parmalat fiasco. The society should have gone bankrupt, yet Prime Minister Berlusconi's government (again a staunch right-winger by European standards and self proclamimed "libertarian") saved it at the last minute by passing an ad hoc law providing financial and legal protection at taxpayers' expenses. This is a case where forien capital could have saved the day. Itallian food is VERY popular in the United States and I am sure some American food company would have been more than happy to invest in the company so they could import Itallian goods into the United States.
The whole affair was so badly administered that it would require a whole series of books written about it. Everyone involved, from investment banks to greedy small investors bear a share of the blame.
Anyway Italian governments seem to have always feared foreign capitals. For example when Alfa Romeo, the famous sport cars firm, was to be privatized because it was going so badly it was "given" to a notorious Italian car manufacturer, which delayed payments for many, many years, didn't honour the agreements they had with the unions (of course the unions didn't complain) etc. Ford had made a much more sensible offer but Italian investment banks panicked at the idea of "opening the gates to Johnny Foreigner" and took the easy way out.
In the United States it is steel producers and farmers who get the government to take the easy way out. There are other companies too. But seel and farms (and sometimes airlines) seem to be the worst in this regard.