Re: No credit problems??

The credit "crisis" is worldwide and it did NOT begin in the US. It began

> in Japan. Japan has been loaning money to Japanese corporations for years > at ZERO interest. They do it through Japans capital investment act that > allows profits earned in other counties like the US to come back to Japan US > federal tax free, to prop up Japans failing economy.

However, many Japanese companies pay US and state income tax, particularly if they Japanese-only subisidies, like the companies that make cars for Toyota and Honda in the US pay US and state income taxes. Japan does not determine who pays taxes in the US.

The Japanese economy > was just beginning to come back up when oil futures stated taking off and > killing the economies of all of the major nations worldwide.

Actually, it was not the Japanese problems that spread to the US. The Japanese did not offer many loans to future home owners who could not pay back the loans. The Japanese did not regulate the market that sold the mortgages and the securities related to those mortgages. Unfortunately, the problem was that the US didn't really regulate them either.

Jeff

> This is for the guy who said there was no credit crisis. > > >
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> > CAW: Canada must be part of solution to auto crisis > > Alyssa Priddle / The Detroit News > > WINDSOR, ON -- The made-in-the U.S. credit crisis that is adversely > > affecting the auto industry is spilling over into Canada where pressure > > mounts for stakeholders from the government to the Canadian Auto Workers > > union to be part of the solution. > > > About 600 interested parties met in Windsor, Ontario, Thursday to discuss > > the impact of the auto crisis in these unprecedented times where U.S. auto > > sales have taken a nosedive as financing has dried up for consumers, > > suppliers and automakers alike.....
Reply to
Jeff
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No wonder you are confused on this issue. The American subsidiaries of Toyota and Honda etc. of Japan are holding companies.

Reply to
Mike Hunter

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