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I spend about 80% of my time in China, and while China has done well so far, it has been because China's economic development so far has been relatively easy. Take strong government control, add foreign investment, get government out of most peoples' lives, and let it grow.
Jul 16 13:07 pm
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All Comments by Paul Denlinger »A U.S./China Comparison [View article]
The next stage of growth though will be much more difficult. There are signs that the natives (Chinese population) are getting restless. The environment has been horribly degraded, making many cities barely liveable. China has invested in a transport infrastructure based on cheap coal and oil which was copied from the US in the nineties.
Yes, China has done very well so far, but just as recent events in the US over the past year have shown us, things can turn south very fast, even for the healthiest looking countries.