All this talk tough talk rings hollow. Only 18% of China's exports are to the US. It was the first nation to recover from the global crisis, and continues to post over 9% annual GDP growth. This is the same country that The Economist magazine said has led the world in GDP and technology for 19 of the past 21 centuries. To trash it as merely a backwards country that peddles trash, goes against all of history.
Most exports from China to U.S. are made by U.S. companies located in China or designed by companies in U.S..
No, no. You don't get it. China is on the verge of a debt collapse !!!! Buy US Treasuries before it's too late !!
I think Greece and the Middle east would have something to say about the technology comment. Also the US has only been around for what, 3 of those centuries? Looks like we lapped them in a short period of time...
1) What makes big bucks is to do the job that one has a comparative advantage in. That is the grunt work for China and it pays very well, a lot better than what the US is earning with its fading comparative advantage. You are right in saying that such advantages China currently possesses will also fade over time, textile production is an example that already shifted to countries such as Bangladesh. You can bitch about stealing trade secrets as long as you want, Google can chime in, and whoever as well. Fact remains China is such a promising market place and production location international companies still kiss China's feet just to be given a shot to enter and compete. There is really no point to start arguing about moral values, or is that how the US grew: By adhering to moral standards? Hardly not! 2) The banks you are talking about is Morgan Stanley and GS which had some of their contracts declared busted by a Chinese arbitration court. I do not agree how it has been done, and in my opinion that is China's biggest threat and challenge, to not as soon as possible implement a reliable contract and business law that is enforceable by all parties. But at the same time MS and GS fucked over municipalities and manufacturing entities with swaps that made no sense whatsoever except for themselves. The same happened in many local Italian towns and the same happened in the US. Its just that in the US a handshake is a handshake no matter whether you raped the kid before or not. But lets stick to the topic as above points are very vague and we shift more and more to some anecdotal evidence. Why do you think China could be closer to bankruptcy than any other industrialized nation?
very simple relevance. China currently competes head to head with the US and such topic can only be discussed in a larger context involving the US. For example China is running a huge trade surplus vs the US and this has direct implications to points made in this discussion. Secondly, ridiculous comments of ecological wastelands in China when discussing China's bankruptcy probabilities come from the same people who every time involve the US and how much it is better. I commented already why I think thats the case, because some have a hard time to stand in the second row for whatever reason. Upbringing maybe...
No, it does not, it leaches off of a ridiculous American trade policy that will soon come to an end. And with it, most likely, will come an end to the Chinese "miracle". Put bluntly, China has not shown an ability to compete against anybody.
exactly the opposite. Russia has completely failed at attempting any sort of capitalist system. Ownership of state owned assets went into the hands of corrupt politicians and businessmen, nobody else. Go down the Forbes list and name a SINGLE Russian who made their dimes honestly. All of their assets were misappropriated while the majority of people in the country still stand empty handed in alcohol addiction. Please DO tell me if you know an honest business man who made a billion + . Oh did I forget that Russia lost pretty much all its sports talents? They all moved to the US or Australia. Its women have become porn models in San Bernardino. So much about a sale out of assets in Russia. China has been a lot smarter and more strategic, well they could also learn from Russia's mistakes. Most of the wealth is distributed. Claiming that only the connected and networked individuals profited from the shift is a simple lie. You cannot turn a farmer with nothing into a middle class citizen overnight, that I give you. But wealth and income has been distributed much more proportionally than in Russia and even in the early Americas thanks to the centrally planned system and party. The situation is much more complex than what you try to see. Not losing face is a huge aspect which prevents party leaders from throwing away old concepts and adopting new too fast. But you may not understand that idea even.
you also get market value if not more, you ignorant idiot. Please do not cite anecdotal evidence for examples in the US and on the other side make up stories about China just because you know jack shit. This way of arguing is totally pointless. Many farmers struck it rich because they got a lot of money for their "leased" land when it was taken by the government for use in areas such as Qingdao, Shanghai, Chengdu, Beijing...and countless other places. Please do not make up lies simply because you do not know!!!