"I, Franklin D. Roosevelt, President of the
With those mealy words,
Whether this act of nationwide larceny did the economy any good or not, we cannot say. It was not until after World War II that the economy fully recovered the spring in its step. And
But there is hardly an act of government so foolish or so maladroit that subsequent politicians won't provide an encore. This week, the government of Nguyen Tan Dung moved to center stage.
A year ago, the typical Vietnamese investor might have turned to the share market for safety...and growth. But Ho Chi Minh's stock exchange fell every single day in May and is down nearly 60% since January. Or, he might have bought property. Alas, the recent downturn has hit
But a year ago, the whole world was a sunnier place.
But then, the monsoons began. And nowhere have the rains come down harder than in the streets of
The Vietnamese have always admired Americans. When Ho Chi Minh declared independence for
No wonder the state bank of the Annamites handled this latest crisis just as FDR and Richard Nixon managed similar ones in the
In years past, if the
The problem for
The IMF puts average inflation worldwide at 3.9% for '07 and 4.7% for '08. But emerging markets suffer higher rates of inflation – almost 12% says the IMF. The reason for this is simple enough: emerging markets are big importers of raw materials, which they turn into finished products. And unlike the
"Vietnamese investors have taken a rational decision that this is a hedge against higher inflation and a weak dollar," said a director of Dragon Capital, based in