rosey99

Chinese Youth Will Propel Economic and Political Changes

The author makes his living advising companies on how to profit from the Chinese economy. It is probably unreasonable to expect him to present an assessment that is not somehow rooted in optimism for the situation in China.

I for one find it to be very unlikely that China will be able, or even willing, to consume it's way out of this growing mess. Much like the rest of us, they will soon be unable to do so, as the recent global boom was driven entirely by cheap and easy credit. Stealing from the future was never a viable way to generate economic growth in perpetuity. . .As we are learning to our detriment now.

In short, we are all renewing our acquaintance with the notion of "sound credit," and no one in their right minds is lending at the moment. I'm skeptical that China (and Japan) will be able to avoid a pretty crushing, 1930's style depression, complete with the unrest that these events typically bring. I hope I am wrong, but only time will tell. Some people are slowly starting to offer an alternative view of what may be in store:

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