Spread this message with Digg, Del.icio.us, Reddit, or Stumbleupon, and subscribe to the RSS Feed to track articles

Buying America

Published 08/12/08 Alexia Cameron - Print Article
E-mail - editor@economyincisis.org

While the American economy has continued to suffer from the rapid rise in the price of major commodities and our overdependence on exports within the past decade, exporting countries have been reaping tremendous benefits from our economic decline and exponentially increasing their cash holdings. Their burgeoning sovereign wealth funds have allowed these foreign investors to swoop up American staples at closeout prices including Abu Dhabi’s recent purchase of the Chrysler Building .

Within the past year alone, sovereign wealth funds have invested more than $40 billion in Wall Street’s key players including UBS, Morgan Stanley and Bear Stearns. Of its $200 billion fund, China put $3 billion into private-equity Blackstone, one of the largest employers in the United States. Abu Dhabi invested $1.35 billion of its estimated $875 billion fund into District private-equity giant Carlyle group.

Sovereign wealth funds are becoming giant stakeholders in the American economy, and the Council on Foreign Relations has outlined exactly who these countries are and how much money they have at their disposal. In entirety, the top ten funds have $2.6 trillion burning a hole in their pockets.

Source Washington Post:

Over the past year, sovereign wealth funds have become increasingly active in the broader U.S. markets, investing more than $40 billion in Wall Street's biggest names, including UBS, Morgan Stanley and Bear Stearns. China put $3 billion of its $200 billion fund into private-equity giant Blackstone. Abu Dhabi, part of the United Arab Emirates, invested $1.35 billion of its estimated $875 billion fund into District private-equity giant Carlyle Group.

Click Here For Solutions To America's Economic Problems:

Click here to contact your Representative in Congress.

Unless the above article is already copyrighted, this article is licensed under a Creative Commons Attribution-No Derivative Works 3.0 United States License, EIC grants permission to use this article in whole or in part provided attribution is given, preferably in the form of a link back to EconomyInCrisis.org.