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One extra hazard of the carry commerce is that the US is trying to compete with all the world on price. This will hurt Japan and other exporting nations. The impact of injuring Japan can be a potential economic default there, leading to a hazard to the world banking system. Japan has enormous debt, and the US will possible play this export growth to the detriment of the whole world stability or until it all crashes like Roubini says willl happen.

FDR intervened within the economic system even more radically than Hoover, the consequence was that a business downturn turned a depression lasting nearly 20 years. Contrary to well-liked opinion, American home manufacturing aside from wartime manufacturing, only absolutely recovered after ww2. The greatest motive for the publish ww2 increase was because the US emerged from ww2 as being the only main financial system left intact to provide the wanted items to the world after ww2.

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