40 Signs The Chinese Economy Is Beating The Living Daylights Out Of The U.S. Economy

**Curt James** · 07-06-2011, 09:53 PM

40 Signs The Chinese Economy Is Beating The Living Daylights Out Of The U.S. Economy

It is time to face the truth. The Chinese economy is simply beating the living daylights out of the U.S. economy. Whether you want to call it a rout, a slaughter or a thrashing, the reality is that the Chinese are absolutely embarrassing America on the global economic stage. At this point, the Chinese are playing economic chess while the Americans are playing economic checkers.

China is poised to blow past the United States and become the largest economy in the world. Not only that, some economists are projecting that the Chinese economy could be three times larger than the U.S. economy by mid-century. The age of U.S. economic dominance is ending, and most Americans still don't even understand what is happening.

Several decades ago, big corporations started figuring out that they could make a lot more money if they sold goods that were made overseas. At the time the United States was so dominant economically that it didn't even matter who was in second place. We started shipping in lots of products that were made somewhere else and the American people loved it because the prices were lower and they could buy more stuff. U.S. corporations loved it because profit margins were higher. Foreign nations loved it because we were helping to develop their economies and they were getting richer. Everyone seemed to be winning and it was a lot of fun while it lasted. But then the trickle of jobs and factories leaving the country started to become a flood. Then it became an overwhelming torrent.

The number of "middle class jobs" in the United States began to shrink continually. Suddenly it seemed like most of the jobs that were available were low paying "service jobs". The prices of the goods in the stores were still low, but average American families were feeling increasingly squeezed so they started to borrow massive amounts of money in order to maintain the same standard of living. Most Americans were willing to go into constantly increasing amounts of debt in order to buy cheap products that were made overseas. This seemed to work well for everyone involved and so the consumer debt bubble just kept growing and growing and growing.

As businesses and jobs fled the country, the U.S. tax base just wasn't as robust as it was before either. The federal government, state governments and local governments all started borrowing gigantic amounts of cash from the countries we were sending all of our money to. In particular, China really started to emerge as an economic powerhouse over the last couple of decades.

Once China joined the WTO they aggressively started to flood our shores with really cheap products. When you have hundreds of millions of workers willing to work for about a dollar an hour that is not that hard to do. Most Americans didn't care where all of the cheap products were being made. They just kept running out to the retail giants and filling up their carts. Of course this was largely done with borrowed money, but at the time nobody really seemed to really care. It is a lot of fun to run up huge amounts of debt, but eventually bills have to be paid. All of this borrowing has enabled the U.S. to enjoy the greatest standard of living in the history of the world, but it has been a false prosperity.

The American Dream was purchased with borrowed money. Now the United States is drowning in consumer debt and government debt from sea to shining sea. We sent gigantic amounts of wealth over to China and other foreign nations and they sent us gigantic amounts of cheaply made products. It was supposed to be a good deal for both sides. In the end, it turns out it was a great deal for them and a crappy deal for us.

The following are 40 signs that the Chinese economy is beating the living daylights out of the U.S. economy....

The Chinese economy has grown 7 times faster than the U.S. economy has over the past decade.
According to the IMF, China will pass the United States and will become the largest economy in the world in 2016.
According to one prominent economist, the Chinese economy already has roughly the same amount of purchasing power as the U.S. economy does.
At the turn of this century the United States accounted for well over 20 percent of global GDP and China accounted for significantly less than 10 percent of global GDP. But since that time America's share of global GDP has been steadily declining and China's share has been steadily rising.
Nobel economist Robert W. Fogel of the University of Chicago is projecting that the Chinese economy will be three times larger than the U.S. economy by the year 2040 if current trends continue.
According to Stanford University economics professor Ed Lazear, if the U.S. economy and the Chinese economy continue to grow at current rates, the average Chinese citizen will be wealthier than the average American citizen in just 30 years.
During 2010, we spent $365 billion on goods and services from China while they only spent $92 billion on goods and services from us.
Since 2005, Americans have gobbled up Chinese products and services totaling $1.1 trillion, but the Chinese have only spent $272 billion on American goods and services.
The United States has lost an average of 50,000 manufacturing jobs per month since China joined the World Trade Organization in 2001, and the U.S. trade deficit with China is now 27 times larger than it was back in 1990.
Back in 1985, the U.S. trade deficit with China was 6 million dollars for the entire year. For the month of April 2011 alone, the U.S. trade deficit with China was 18.8 billion dollars.
Since China entered the WTO in 2001, the U.S. trade deficit with China has grown by an average of 18% per year.
According to a recent report from the Economic Policy Institute, between 2001 and 2008 the U.S. lost approximately 2.4 million jobs due to the growing trade deficit with China. Every single state in America experienced a net job loss due to our trade deficit with China during this time period.
The United States had been the leading consumer of energy on the globe for about 100 years, but last summer China took over the number one spot.
China produced 19.8 percent of all the goods consumed in the world last year. The United States only produced 19.4 percent.
China now consumes 53 percent of the world's cement.
Last year, China produced 11 times as much steel as the United States did.
Since China joined the WTO, approximately 46,000 factories have been transferred from the United States to Asia.
China now has the world’s fastest train and the world’s largest high-speed rail network.
Is alternative energy the future? If so, the Chinese economy is positioned well. China is now the number one producer in the world of wind and solar power.
Chinese solar panel production was about 50 times larger in 2010 than it was in 2005.
Today, China controls over 90 percent of the total global supply of rare earth elements.
85 percent of all artificial Christmas trees are made in China.
Back in 1970, 25 percent of all jobs in the United States were manufacturing jobs. Today, only 9 percent of the jobs in the United States are manufacturing jobs.
The United States has lost a staggering 32 percent of its manufacturing jobs since the year 2000.
Between December 2000 and December 2010, 38 percent of the manufacturing jobs in Ohio were lost, 42 percent of the manufacturing jobs in North Carolina were lost and 48 percent of the manufacturing jobs in Michigan were lost.
There are more pigs in China than in the next 43 pork producing nations combined.
China now possesses the fastest supercomputer on the entire globe.
Back in 1998, the United States had 25 percent of the world’s high-tech export market and China had just 10 percent. Ten years later, the United States had less than 15 percent and China’s share had soared to 20 percent.
Manufacturing employment in the U.S. computer industry was actually lower in 2010 than it was in 1975.
In 2002, the United States had a trade deficit in "advanced technology products" of $16 billion with the rest of the world. In 2010, that number skyrocketed to $82 billion.
Over the past 15 years, China has moved up from 14th place to 2nd place in the world in published scientific research articles.
According to one recent study, China could become the global leader in patent filings by next year.
Do you remember when the United States was the dominant manufacturer of automobiles and trucks on the globe? Well, in 2010 the U.S. ran a trade deficit in automobiles, trucks and parts of $110 billion.
According to author Clyde Prestowitz, China's number one export to the U.S. is computer equipment.
In 2010, the number one U.S. export to China was "scrap and trash".
In 2009, the United States ranked dead last of the 40 nations examined by the Information Technology & Innovation Foundation when it came to "change" in "global innovation-based competitiveness" over the previous ten years.
Russia and China have announced that they have decided to quit using the U.S. dollar and instead start using their own national currencies when trading with each other.
A Washington Post/ABC News poll conducted a while back found that 61 percent of Americans consider China to be a threat to our jobs and economic security.
The average household debt load in the United States is 136% of average household income. In China, the average household debt load is 17% of average household income.
China has accumulated the largest stockpile of foreign currency reserves on the entire globe - $3.04 trillion as of the end of March. That figure was an astounding 24.4 percent higher than it was exactly one year earlier.

So where in the world did China get all that money? That is an easy question to answer. They got it from us. We are the wealthy rube sitting at the poker table getting bled dry by all of the sharks. We gave trillions to the Chinese instead of giving it to U.S. businesses and U.S. workers.

Now our economic infrastructure is in shambles and tens of millions of Americans can't find decent jobs. Our government officials are wondering where all of the tax revenue went, but the reality is that you can't tax workers that don't have jobs. Sacrificing jobs and economic infrastructure for "cheap stuff" is kind of like using pieces of your house to keep your fire going. In the end, you won't have any house left at all and your fire will go out. The greatest economy on earth is being ripped to shreds right in front of our eyes and most of our politicians do not seem to care.

This has been a slow-motion disaster that has taken decades to play out. This is not something that happened overnight. Sadly, the vast majority of the American people are still clueless about all of this. That is one reason why I write so fervently about economic news. My hope is that the American people will wake up before it is too late. Unless fundamental changes are made, the current trends we are witnessing are only going to continue to accelerate. The Chinese economy is going to continue to beat the living daylights out of the U.S. economy.

From 40 Signs The Chinese Economy Is Beating The Living Daylights Out Of The U.S. Economy

**DOMS** · 07-06-2011, 11:24 PM

Originally Posted by Curt James

The Chinese economy has grown 7 times faster than the U.S. economy has over the past decade.

According to the IMF, China will pass the United States and will become the largest economy in the world in 2016.
According to one prominent economist, the Chinese economy already has roughly the same amount of purchasing power as the U.S. economy does.

I didn't read though all of them, and I'm not saying that China won't do well, but this list is crap.

1. What was their predictions of the US back in 98?
2. One "prominent" economist. So only one thinks so? No others? And who is the unnamed person? Why is he unnamed?

A lot of that list is little more than fiscal fortunetelling or inconsequential crap "85 percent of all artificial Christmas trees are made in China" bordering on the non-sequitur. There's also crap like "In 2009, the United States ranked dead last of the 40 nations examined by the Information Technology & Innovation Foundation when it came to 'change' in 'global innovation-based competitiveness' over the previous ten years". This of course explains why all but one major tech company is a US company (IBM, Microsoft, HP, Cisco, Google, etc.) and web sites (Google, Facebook, Amazon, etc.)

That list is largely crap for fear mongers and people that like to jerk off the thought of the USA no longer being a superpower.

**LAM** · 07-07-2011, 12:06 AM

Originally Posted by Curt James

40 Signs The Chinese Economy Is Beating The Living Daylights Out Of The U.S. Economy

Several decades ago, big corporations started figuring out that they could make a lot more money if they sold goods that were made overseas. At the time the United States was so dominant economically that it didn't even matter who was in second place. We started shipping in lots of products that were made somewhere else and the American people loved it because the prices were lower and they could buy more stuff. U.S. corporations loved it because profit margins were higher. Foreign nations loved it because we were helping to develop their economies and they were getting richer. Everyone seemed to be winning and it was a lot of fun while it lasted. But then the trickle of jobs and factories leaving the country started to become a flood. Then it became an overwhelming torrent.

The number of "middle class jobs" in the United States began to shrink continually. Suddenly it seemed like most of the jobs that were available were low paying "service jobs". The prices of the goods in the stores were still low, but average American families were feeling increasingly squeezed so they started to borrow massive amounts of money in order to maintain the same standard of living. Most Americans were willing to go into constantly increasing amounts of debt in order to buy cheap products that were made overseas. This seemed to work well for everyone involved and so the consumer debt bubble just kept growing and growing and growing.

As businesses and jobs fled the country, the U.S. tax base just wasn't as robust as it was before either. The federal government, state governments and local governments all started borrowing gigantic amounts of cash from the countries we were sending all of our money to. In particular, China really started to emerge as an economic powerhouse over the last couple of decades.

this is all a function of neo-liberal economic policy and is not just occurring in the US, it is happening in all OECD countries but much worst here. the US is neo-liberal economic policy central, so is this aspect in the long run the "middle class" in the US is going to get hit hardest because our country has the lowest rate of unionization and spends the least amount of GDP on social protection out of the OECD, basically we are the least "socialist" country. When you combine constant job losses across many sectors with constant inflation with stagnant wages it will always come at the expense of reduced tax receipts at the state and federal level. the CPI is ineffective in addressing constant inflation, there is always a lag and the wage increases always fall below the level of inflation.

This is by design to cause state and federal budget deficits that can will never be able to be "balanced". This in turn causes the "people" to demand a reduction of the size of government and expenses, it is simple manipulation of the public. You have to read the OECD Guidelines for Multinational Corporations to understand this intentional strategy to shrink the size of government which increases the power of the multinational corporations. Karl Marx also wrote about this topic as well in his writings.

Unfortunately most don't understand the difference between a plan and a conspiracy by business leaders of the world, the latter requires that a crime be committed. There are no laws against manipulating people or lying to them.

Inflation in the business world is a very good thing, it decreases effective tax rates, it has a positive effect on stock prices, transfers the wealth of equity holders to bond holders and it makes US debt is easier to pay back, as nominal GDP is what we pay taxes on, not inflation-adjusted. Inflation for those that make simple/average wages and are at the bottom of the wage ladder causes a disastrous effect on the quality of life.

**Big Smoothy** · 07-07-2011, 12:25 AM

Originally Posted by Curt James

At this point, the Chinese are playing economic chess while the Americans are playing economic checkers.

True, for all of the reasons listed below.

The number of "middle class jobs" in the United States began to shrink continually.

Yes, and it continues and will continue, sadly.

Curt,

Thanks for the list and the website.

This info is needed to awareness.

Every American and policy maker should read this.

Will the US address this issue? Not really.

But it is unfolding right in front of us.

Just think about what living standards and the quality of jobs will be in 3, 5, 10, 15 and 20 years.

**Big Smoothy** · 07-07-2011, 12:37 AM

Originally Posted by DOMS

That list is largely crap for fear mongers and people that like to jerk off the thought of the USA no longer being a superpower.

The Talk about the Rise of China to supremacy started a full 10 years, ago.

It just seems that the Americans have started discussing it since about 2008.

America is still a super-power.

But this is mostly militarily.

When empires are indeed decline they have historically focused on their military power and military might, using it in foreign nations, and spending large amount of money to sustain the empire via the military.

The US is doing this now, IMO.

And the USA probably started doing this sometimes in the 1960s.

**Prince** · 07-07-2011, 12:39 AM

you can nip pick at the list or just take the general message of the article which is true and factual, China is going to OWN us.

**LAM** · 07-07-2011, 12:51 AM

Originally Posted by Big Smoothy

Just think about what living standards and the quality of jobs will be in 3, 5, 10, 15 and 20 years.

Imagine what the US is going to be like in 100 years when democracy is dead in the US now and has been for decades.

It's going to be a sad state of affairs for those in the two lower income quintiles, they will all fall into poverty never to recover. A person can't even get a 2nd job to make ends meet anymore, those days are long gone and never to return.

US business are reporting record earnings and taxes both on wages and capital are at the lowest records in history, yet still no mass hirings. This tells us that corporate tax rates are not and were never the problem in terms of stimulating employment.

**Big Smoothy** · 07-07-2011, 02:37 AM

Originally Posted by Prince

you can nip pick at the list or just take the general message of the article which is true and factual, China is going to OWN us.

Yes.

And The Chinese are taking these steps already.

The Chinese are looking ahead at least 50 years.

That is why they are buying huge amounts of copper, and other commodities.

China knows the US is short-sighted now, and was short-sighted when "times were good."

**Dale Mabry** · 07-07-2011, 04:38 AM

I believe this 100%, but there is a potential monkey wrench in the system. Once the Chinese people find out what our QoL is over here, they will start wanting more stuff. Goodbye cheap labor. The Chinese gov't controls much of what the Chinese people hear, read, and see, so many of them are completely oblivious to what goes on in the world. The Chinese may have built up a large economy, but they did it on the backs of people who they are blatantly ripping off, and once they find out, there are going to be problems. In fact, we should be fomenting that unrest as much as possible.

**DOMS** · 07-07-2011, 08:49 AM

Originally Posted by Prince

you can nip pick at the list or just take the general message of the article which is true and factual, China is going to OWN us.

Another post that I wrote:

Back in the last 80s, it looked as though Japan was going to financially concur the USA. They were importing our money at an astonishing rate. They were spending that money by buying up everything in the USA. They looked unstoppable.

Then it turned out that their economy was a house of cards. It all collapsed.

And the Japanese are 1000 times more competent than the Chinese. China's economy is slowing down and they're having to raise interest rates.

If the US' economy tanks, the number of imports will drop propitiously. China's economy will go down faster than...well...a Chinese hooker.

Can the USA fall from the number 1 spot? Sure. Can that new number 1 be China? Maybe.

I mean, it's not like China would lie about their finances. Or use people in an immoral, and unsustainable way, because they're a dictatorship. Or that a large part of their economy is based on selling things to other countries, which will largely dry up if the USA collapses (and takes other countries with us).

Maybe China really is some sort of economic powerhouse, or maybe their just house of card like Japan was circa 1990. Acting like China's rule is foregone conclusion is questionable at best.

**Big Smoothy** · 07-07-2011, 10:53 AM

^ DOMS,

Fair example about Japan.....

But Japan in the 80s and China today are comparing apples and oranges.

Completely different situation (for the US as well).

**LAM** · 07-07-2011, 02:33 PM

Originally Posted by DOMS

Can the USA fall from the number 1 spot? Sure. Can that new number 1 be China? Maybe.

the US has already fallen from the #1 spot once you adjust our real GDP for inflation you see the illusion that has been created.

**bandaidwoman** · 07-07-2011, 02:48 PM

Originally Posted by Big Smoothy

^ DOMS,

Fair example about Japan.....

But Japan in the 80s and China today are comparing apples and oranges.

Completely different situation (for the US as well).

Also Japan had a century start, in the 19th century they became non isolationist and welcomed foreign ideas and trades, Japan soared primarily through western intervention during this period and continued with Mcarthyism even after losing the war. China, starting in the 19thcentury we were isolationist, we invested a century of our energy recovering from the Taiping rebellion, the opium wars and then curing our population of its widespread opium addiction ( thanks to the British) and thus we became naturally leery of westerners. As crazy as Mao was , he ended a nation of opium addicts overnite and his revolution was probably the beginning of our end of isolationism and Deng later transformed our economic and social policies

P.S. the greatest success story of the Mao revolution as a chinese is his brilliant program that reduced a country of 70million opium addicts to none in three years, america should probably study how he was able to pull of the impossible......

**Big Smoothy** · 07-07-2011, 07:57 PM

Originally Posted by bandaidwoman

Also Japan had a century start, in the 19th century they became non isolationist and welcomed foreign ideas and trades, Japan soared primarily through western intervention during this period and continued with Mcarthyism even after losing the war. China, starting in the 19thcentury we were isolationist, we invested a century of our energy recovering from the Taiping rebellion, the opium wars and then curing our population of its widespread opium addiction ( thanks to the British) and thus we became naturally leery of westerners. As crazy as Mao was , he ended a nation of opium addicts overnite and his revolution was probably the beginning of our end of isolationism and Deng later transformed our economic and social policies

Thanks for the info, BDWoman.

I know a Westerner who thinks Mao did a lot of positive things, and I'm curious to find some objective work on him. (I bought a biography on him by Halladay but it was too biased.)

The cultural revolution has always made me cringe as a foreigner looking in.

P.S. the greatest success story of the Mao revolution as a chinese is his brilliant program that reduced a country of 70million opium addicts to none in three years, america should probably study how he was able to pull of the impossible......

I've seen the video footage of the death warrants and shot to the back of the head.

Are you referring to culling the opium addicts? Or, was there another means?

How did he get 70 million to 0?

**LAM** · 07-07-2011, 08:06 PM

Originally Posted by bandaidwoman

P.S. the greatest success story of the Mao revolution as a chinese is his brilliant program that reduced a country of 70million opium addicts to none in three years, america should probably study how he was able to pull of the impossible......

his techniques would never work in the US, racism and the masses buying into social darwinism prohibits the US from ever being unified as one.

**DOMS** · 07-07-2011, 08:40 PM

Originally Posted by Big Smoothy

^ DOMS,

Fair example about Japan.....

But Japan in the 80s and China today are comparing apples and oranges.

Completely different situation (for the US as well).

O'rly?

**DOMS** · 07-07-2011, 08:49 PM

Originally Posted by LAM

his techniques would never work in the US, racism and the masses buying into social darwinism prohibits the US from ever being unified as one.

Mao.

Conversely, nationwide political campaigns led by Mao, such as the Great Leap Forward and the Cultural Revolution, are blamed for millions of deaths, causing severe famine and damage to the culture, society and economy of China

Great Leap Forward

The Great Leap ended in catastrophe, resulting in tens of millions of excess deaths. Estimates of the death toll range from 16.5 to 46 million, with estimates by demographic specialists ranging from 18 to 32.5 million. Historian Frank Dikötter asserts that "coercion, terror, and systematic violence were the very foundation of the Great Leap Forward" and it "motivated one of the most deadly mass killings of human history."

Cultural Revolution

The Cultural Revolution damaged the country on a great scale economically and socially. Millions of people were persecuted in the violent factional struggles that ensued across the country, and suffered a wide range of abuses including torture, rape, imprisonment, sustained harassment, and seizure of property. A large segment of the population was forcibly displaced, most notably the transfer of urban youth to rural regions during the Down to the Countryside Movement. Historical relics and artifacts were destroyed. Cultural and religious sites were ransacked.

That shit sounds awesome. Why great we be that awesome, too?

**lnvanry** · 07-07-2011, 08:51 PM

the chinese real estate bubble is far worse than what we experienced in the US with regards to excess demand (not leverage). Its going to destroy real estate prices there and any far more will be underwater than in the US...the materials sector here in the US will plummet immediately afterward. Careful with your investments in BHP, FCX and RIO

**lnvanry** · 07-07-2011, 08:53 PM

Originally Posted by DOMS

Mao.

Great Leap Forward

Cultural Revolution

That shit sounds awesome. Why great we be that awesome, too?

I"ll pass on any revolution that means over 15% of my community starves to death...even if it means my grandchildren have a shot a better quality of life if there are born in certain city districts

BBC NEWS | Asia-Pacific | China's rural millions left behind

**LAM** · 07-07-2011, 09:06 PM

Originally Posted by DOMS

Mao.

Great Leap Forward

Cultural Revolution

That shit sounds awesome. Why great we be that awesome, too?

I never said Mao was a decent person I only commented on his technique to end opium addiction and that was through unification of the poor.

**DOMS** · 07-07-2011, 09:07 PM

Originally Posted by LAM

I never said Mao was a decent person I only commented on his technique to end opium addiction and that was through unification of the poor.

When you put it that way, the abuse of basic rights and mass murder doesn't sound so bad.

**bandaidwoman** · 07-08-2011, 06:00 AM

Originally Posted by Big Smoothy

Thanks for the info, BDWoman.

I know a Westerner who thinks Mao did a lot of positive things, and I'm curious to find some objective work on him. (I bought a biography on him by Halladay but it was too biased.)

The cultural revolution has always made me cringe as a foreigner looking in.

I've seen the video footage of the death warrants and shot to the back of the head.

Are you referring to culling the opium addicts? Or, was there another means?

How did he get 70 million to 0?

Remember the internet ranks its site references based on popular hits so westerners wont get a good idea until they reference primary data, culled by non china country historians like the malaysians, , japan, Taiwan ( remember we have free press) , korea etc so if you surf their site in their languages you will get what I will put in "cliff"notes version;

First a mass social redefination. The system and its big supporters were the enemies not the addicts themselves ( this is very different from the US and the west). This country says the the system is OK'' ( and lets face it capitalism supports drug trade because it is so profitable which is why drug problems made a comeback after DENG). and treat addicts like human trash and criminals .Ex-addicts and their families joined big marches and rallies. He gave community leaders the power to bust up the business networks that sold opium to the people. This meant that supplies were disappearing . It was a large scale mass movement only a powerful totalitarian government could accomplish. We chinese are practical, we needed a totalitarian governemnt to abolish opium addiction but now we need a capitalistic government to conquor the economic world, but we had to do that first. So to rephrase, Mao made it so the dealers and its big-time supporters should be considered enemies, and that the addicts should be considered part of the people and should be treated as victims of the system. Because of these class distinctions, addicts were not arrested when they ``went public.'' Instead, the people praised the addicts for doing the right thing. Because the people were in power, the addicts eventually lost their fear of seeking help. Deadlines were set: addicts got several months to get clean. During this period, they could keep a little opium and they were given injections to ease the muscle cramps of withdrawal.

Mao's revolutionary government also said small-time drug dealers would not be treated as Enemies of the People -- IF these small-time operators helped end the drug trade. Get this, he bought the drugs from the small time dealers! A one time huger buyout, many could not resist.

Then he went after the big time drug dealers and showed no mercy. in ways I wish the US would.

All the above western historians and their own propaganda omit, just like the the christian butchery of the Taiping Rebellion.

I never said Mao was a decent person I only commented on his technique to end opium addiction and that was through unification of the poor.

Spot on.

All the above information is in Taiwanese, Malaysian, Korean, Indoensian history books, so it is not propaganda, ( and please don't tell us that asian historians from free countries know less of our history than western historians, which is what I got when I took AP history class) and I am totally aware of Mao's evil but he killed less than the Taiping rebellion and we didn't have a society that had legalized large scale arpatheid just in the 20th century, yes we have our abuses just look at the poor tibetans, the christian missionaries we torture and the muslims in the west trying to get nationhood but the US has a habit of supporting human rights abusers in other countries and we did not support the japs and nazis

**Glycomann** · 07-08-2011, 06:20 AM

Originally Posted by LAM

Inflation in the business world is a very good thing, it decreases effective tax rates, it has a positive effect on stock prices, transfers the wealth of equity holders to bond holders and it makes US debt is easier to pay back, as nominal GDP is what we pay taxes on, not inflation-adjusted. Inflation for those that make simple/average wages and are at the bottom of the wage ladder causes a disastrous effect on the quality of life.

How does inflation make paying down debt easier? In a market where past and present dollars are not equivalent you would be using dollars with lower value to pay down debt incurred with dollars at a higher value. You would have to use more of the devalued dollars to pay off the dollars borrowed in the past which are still of higher value. If the debt exists in a market where the value of past and present dollar value are linked and equivalent then OK but that is not always the case right?

**DOMS** · 07-08-2011, 09:43 AM

Originally Posted by bandaidwoman

All the above information is in Taiwanese, Malaysian, Korean, Indoensian history books, so it is not propaganda

**bandaidwoman** · 07-08-2011, 09:49 AM

Originally Posted by DOMS

typical american arrogance, and resorting to indirect adhominem attack than refuting that the greatest achievement of Mao was his drug addction erradication, as if free and educated thinkers in other countries are not valid as american sources, the sad thing is they can read the primary data in the languages written you americans can't . It's why i am so valuable, there are chinese stem cell biotech companies who are taking advantage of the primary research in these fields ( remember your christian fundamentalism put you guys backwards in this field) that are not made for english publication ( much like a lot chemistry research were not translated from german or french to english) but I can read it and why I am sought after in the academia and private sector. You should look at primary data, this country doesn't empahsize that type of critical thinking unlike the free Asian educational systems in singapore, Taiwan, and parts of Japan and so on.

Besides, most of us like Deng Xiao Ping alot better,he is seen as the Ronald Reagan equivelent for the americans.

**DOMS** · 07-08-2011, 10:39 AM

Originally Posted by bandaidwoman

typical american arrogance, and resorting to indirect adhominem attack than refuting that the greatest achievement of Mao was his drug addction erradication, as if free and educated thinkers in other countries are not valid as american sources, the sad thing is they can read the primary data in the languages written you americans can't.

Just because Mao mostly got rid of drugs, and maybe did a few other good things, doesn't erase the killing of millions, the destruction of relics or the destruction of culture, okay.

You always talk about how others are arrogant or how the West lacks in some way...and then you go on to talk about how great you and the East are compared to others. Case in point: "primary data in the languages written you americans can't." Do you think no American can understand Mandarin or read Chinese? That's an ad hominem attack. "Oh, you're American, so you're wrong." I've seen your other posts, they all fall in line with your hypocritical, passive-aggressive personality. But yeah, keep telling yourself that it's others that are like that.

**LAM** · 07-08-2011, 10:56 AM

Originally Posted by Glycomann

How does inflation make paying down debt easier? In a market where past and present dollars are not equivalent you would be using dollars with lower value to pay down debt incurred with dollars at a higher value. You would have to use more of the devalued dollars to pay off the dollars borrowed in the past which are still of higher value. If the debt exists in a market where the value of past and present dollar value are linked and equivalent then OK but that is not always the case right?

I do not understand everything about this process but if you do some searches on the subject you find it's very common in debtor nations, it's a more "acceptable" method of defaulting on debt.

inflation in the US is almost always constant so there are almost never years of 0% inflation but in general it has been on the decline since the 80's. so by issuing more dollars into circulation the real value of each dollar owned is reduced, a weakened dollar also causes US exports to become more competitive, that "bad" part if for the people at the bottom of the income ladder as it also causes real wages to decrease.

**GearsMcGilf** · 07-08-2011, 06:03 PM

Originally Posted by bandaidwoman

P.S. the greatest success story of the Mao revolution as a chinese is his brilliant program that reduced a country of 70million opium addicts to none in three years, america should probably study how he was able to pull of the impossible......

Yes, a good healthy struggle session or a labor camp can work wonders for drug addiction and counter revolutionary tendencies. He also starved massive numbers of people to death through the Great Leap Backward and Cultural [Genocidal] Revolution. Hitler and Mussolini made some great strides in health care and the economic health in Germany and Italy. Maybe we need a fascist dictator here to get us out of our current mess.

**Big Smoothy** · 07-08-2011, 08:40 PM

Thanks for the info, Bandaid woman.

China is an interesting place. It seems like a very controlled society.

I talked with a few Australians last night in Vietnam. They are involved in mining development of certain minerals.

Some minerals are very expensive. At the their peak. The Chinese have been mining and buying this and holding them, refusing to sell.

They are looking ahead. They think longer term.

Its seems there is a Chinese construction bubble at the moment.

Lots of loans.

I was days away from a University job in Guangzhou, but cancelled and went to another country because Americans have to drop off their visas in person in San Francisco, even though I had a Chinese work permit. The other option was to fly to Hong Kong, but I decided to go somewhere else.

Anyway, here is an article on Chinese inflation. Food inflation. The one thing, that pisses people off:

http://money.cnn.com/2011/07/08/news....htm?iid=HP_LN

**LAM** · 07-08-2011, 09:08 PM

Originally Posted by Big Smoothy

Anyway, here is an article on Chinese inflation. Food inflation. The one thing, that pisses people off:

China inflation picks up to 6.4% in June - Jul. 8, 2011

I think the increases in food prices are a combination of factors, a shortage of supply from population increases, recent floods on farmlands and commodities trading on top of all that. it seems to be more of a structural problem since the Chinese speed like 30% of their incomes on food.

Thread: 40 Signs The Chinese Economy Is Beating The Living Daylights Out Of The U.S. Economy

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