willynill

China's Credit Bubble and the Balance of Trade

Good research, as always. As you say, markets are higher as a function of excess liquidity. I think it is more than mere excess liquidity--it is "directed" excess liquidity. See Philip Davis' posting today about the GS "goose".

China Wants the U.S. Dollar to Drop Dead

Just wondering about two things: When China's holdings of treasury securities mature, what will they do when they are paid in dollars that are worth very little?
And, China's one-child policy has been in place for about twenty-two years; soon the population will start to decline and age. Isn't that a formula for long-term collapse?