rlirph

Why Krugman Is Wrong About the Yuan

We have gone through almost forty years of twin deficits(fiscal and trade). We were 'brain washed' that we can have better living standards via free trades. Free trade does not work; 'managed trade' does. Look at all the up and coming economic power in Asia. No country has our free trade policy. We want more and cheaper goods to the detriment of our future...

Dollar/Yuan Peg Means China Gains on All Fronts

If free trade is beneficial to our country why are we running trade deficits for most of the past forty years? Haven't we learned from the past forty years trading with Asian countries? What economic benefits do you get from them? Are the benefits worth putting our fellow Americans on the street?

What we need is controlled trade, a practice done well by Japan and China. Do what other people do to you. It is time for us to close our doors to the Chinese products...

This is not an anti-Chinese comment as I am Chinese. I just like to play on a level field.

A US Expat Living in Guangzhou...

China and Its Predatory Currency Policy

Each country has its own best interests in its policies. It is great to see the China government has finally done something good for its own citizens, that is improving their quality of lives, even though they are still decades behind us. You can sense that their people are happier now than ten years ago. Can you say the same thing about us? We are facing the same old problems when I was in college forty years ago - twin deficits - fiscal and trade deficits. We are unwilling to have fiscal discipline (government and citizens) and unwilling to sacrifice (like drive a smaller car or to save) that has led us to our present situation. Unfortunately we have forty years to create the problems. The problems will not go over overnight...

A US Expat Living In Guangzhou

China's Influence in Cars Running Deeper, Wider

When you refer to Chinese being innovative you must be referring to other Chinese living outside China, not the 1.3 billion Chinese I meet every day in the past three year.

China is a country based on Communism, a country that teaches its citizens to listen and obey. That is why most Chinese listen to their teachers and elders without questioning. The college graduates are knowledgeable and intelligent, but lack independent thinking. Please name one innovation accepted worldwide that China has in the past twenty years.

Remember this country has a culture that is proud in 'copying'. They consider 'stealing' as smart business. In fact if one reads the Chinese law, selling pirated CD and software is only illegal when the retailer has 5000 or more copies in his possession. This is a country where the government condones dishonesty. How else can you explain now the central government has given approval to all the state owned enterprises not to honor their losses in derivatives?

BTW this is not a China bashing comment as I have enjoyed living here in the past and will live here for the foreseeable future. I am speaking as I see it...


- A US Expat Living In GZ

On Oct 28 04:06 PM Alphameister wrote:

> Some people seem to think that ingenuity is unique to the American
> DNA. Creativity will be found wherever men are free. The Chinese
> economy has the rough spots to be found in any economy new to the
> free market, but it also has a population willing to work hard and
> to innovate in search of the rewards that capitalism can bring.

Hong Kong Real Estate Requires 40% Down

One should not confuse with Hong Kong and mainland because they are governed by two different governments. This year HK real estate has gone up more than 30% because of the low interest rate as the authority is flushing the market with liquidity. Earlier this year HSBC was making mortgages at 1.25% interest rate. At this low rate all residential properties can be bought at current rate and one can still enjoy positive cash flow! In China the government has set the 30 year mortgage rate to 4.7%.

Can China Sustain 8% Growth?

1) I do not trust accountants in China any more of our Big 4.
2) Your question is moot. If you genuinely think the Chinese products are tainted go back to your house and throw those poisonous products away. See how empty your house is!
3) No. Planet earth does not have resources to supply another billion people to a US standard of living. It just mean there are some of us will have a lower standard of living.
4) Chinese government's genocide is no greater than the European
killing off our native Americans.
5) Yes. I think we Americans are stupid and short sighted enough that we believe in free trade while running billions of trade deficits years after years. Our twin deficit(fiscal/trade) started when I was in college. Now I am near retirement.
6) Countries in Latin America could have come up years before China can but did not. Wonder why? There is no comparison between China and India. By the way have you ever visited China or India. When you have we can talk.

Finally stop bashing China for our problems. That is irresponsible! Next thing you can going to blame the banks for all the credit cards you run up!

- A US Expat Living In GZ


On Oct 23 10:47 AM Tom B wrote:

> Through 3 years: probably.
> Through 5 years: conceivably
> Through 10 years: bubble bursts-- just like "dot-coms"; Japan in
> the 1980's; Banks in the "2000's"".
>
> Think about it: 1) Do you trust their accountants? 2) Do you trust
> their poison/contaminated/da... products? 3) Does planet Earth have
> the resources to lift another billion plus people to a US standard
> of living? 4) Do you think the people will tolerate the Govt's continued
> genocide forever? 5) Do you think the US will buy into the poisonous
> concept of "free trade", without any checks and balances, forever?
> 6) What about Latin America--closer; better trained workers. What
> about India? Better trained workers; everyone speaks English already;
> FUNCTIONAL democratic Government.

How to Deal with Corruption in China

It is easy to view corruption in China in the same sense as other westerners. Unlike the US China has a one party system. There are different factions fighting each other for power and territory within the party. In other countries you get loyalty when you empower some one. In China the loyalty comes when you give power and authority (hence corruption). In other words it is the corruption that holds different government officials together. For this reason it will be many years before the country will ever get rid of corruption.

In the case of Huang Guangyu, he does not become the richest man in China at one time without having friends at the highest level of the central government. When his friends loses in power struggle he will be swept away just like any disfavored politician. In China he's accused of committing commercial crimes (insider trading). Does anyone knows the exact definition of 'money laundering' in China? If you ask me to wire money to your friends in the US I can be guilty of money laundering because the money is not mine. However, the government only allows Chinese citizens to send no more than US$50K a year. If one is a US expat like me there is no allowance. In other word you can bring all the US cash in and once it is converted to RMB I cannot send it out of the country. However, legally I can carry up to US$10K every time when I leave the country.

China Mobile Should Have a Head Start in E-Reader Race

China Mobile does not have stock symbol of CHU. CHU is China Unicom, the carrier now sells Apple iPhone.

Is Obama Mimicking 'W.' on Trade?

I always think that our government was stupid in allowing imports at the expense of losing jobs and industries. We either wise up that free trade does not work unless the countries involved are genuinely free to trade.

We as citizens are committing suicides by allowing all these imports into US. I have been living in China half time for almost four years now. I do not see that China has foreign ownership in telecoms, energy, minerals industries. The foreign bank and financial presence is so small that it is insignificant.


- A Chinese American Expat Living In GZ

Floating Rate Mortgage in Hong Kong Is Setting Up a U.S. Style Housing Market Crash

If Andy Xie is the stock analyst at one of the US brokerage company you can forget about his comment. His remarks are generally there to attract news coverage, thereby increasing his reputation.

You have to follow the historic HK real estate prices. Even right now at less than 1% mortgage rate many units are still being sold at 50% less than what it was in 1997. Definitely the prices will drop 50% if mortgage rate goes up from 1% to say 6%.

China to Buy Up to $50 Billion in IMF SDRs

Note that China is not using its US dollar holdings to fund their $50 billion purchase. Any significance on this?

China’s Exports Recovery - We Don't Buy It

China should send every US citizens a stimulus check! With the money we can buy more Made-In-China products...

LDK Widens Quarterly Loss as Chinese Solar Co. Posts Negative 90% Gross Margin

How do you reduce liabilities by replacing short term loans with long term loans? Is this Chinese accounting?

China: Beware Bubble 2.0

I for one agree with with doubleshortetf. There are too many "experts" here and else where who claim to be China experts but they have not spent sufficient time in the country. Many are confused with A shares, B shares, H shares.

I just like to point out the fact that China government is the biggest landlord in the country. In spite of all they say, please understand that land auctions bring in lots of money each year to the government coffers. The government may say and act half-heartedly about high real estate prices. In reality it is against their interests that real estate prices collapse or remain low. Just look at how Hong Kong government maintains high real estate prices and you will see how China government will act in the future.

US Expat Living In GZ...

On Aug 06 07:36 PM johnqh wrote:

> doubleshortetf:
>
> It seems that you like to copy and paste in a lot of Chinese threads.
> I would just like to point that out because I have seen your exact
> same post before.

Alarming China Statistic of the Day

Once again we make references to China using our US standards. Chinese real estate and stock market are highly speculative and volatile. It is not unusual to see prices go up 20% in one month. It is also not unusual to see prices come down just as fast. One cannot compare China market using US guideline.

As to why housing prices in China in general will go up? That is because the China government is the biggest landlord in the country. When the country taken over by the Communist Party all land except the ones used by ordinary peasants returns to the government. All the money in those outrageous land prices go straight to the local government coffers.

If you are the biggest landlord why would you implement measures to have affordable housing? For those who are interested in this subject just examine the government policies of Hong Kong under British rule will tell you what China government will do regarding real estate in teh future.