Another productive day, another stream of interesting information for our minds.
We have spent the first half of a day with Bob Biolsi discussing recent trends in Financial Services.
Have found a lot to learn about this industry in nowadays.
It seems that even though the Financial services are crucial for all the world and any country many of them come with regulations against this industry. So does the US government. But the rule of the life works the way that the more regulations will try to depress Financial industry, the stronger it will become.
Financial center is migrating. Though NYC is a leading city of media, communications, entertainment and many other industries, it is no more financial leader of the world. Why? The same those constraining regulations limiting the industry. Today London has much more jobs in Finance than New York and it became the new Finance leader. Who will be the next? Zurich? Singapore? Maybe Dubai? Probably. We’ll see. Anyway the Financial industry will stay of a crucial importance.
We were discussing an interesting topic concerning why do people continue to buy US Treasury bonds when US has a huge governmental debts. Most obvious people are overoptimistic when it comes to US. Most of the people prefer not to see the troubles US has today and not to think about possible negative consequences or are basing on old data instead of wasting a time on evaluating the real situation and possible risks. Yes, it is true that US has a huge influence on the world economy and it will pay you back your 1% but it will borrow from others to do that. What if one day it finds no country ready to lend?..