Hello CB, <<Given the naivete of the Chinese government ... I'd advise the Chinese government to listen to Greenspan and Bernanke, rather than you>>
... Oops, I forgot, I am on your Ignore list. Shucks. No matter,
This post to you is only for the purpose of immortalizing in my files something (pr, something else) you said:
... and something economist Roach said, not so much about politician Greensputin and charlatan BurnAndKaput, but some wise leaders and macro managers ...
morganstanley.com
"Once again, the world is hunkering down for the worst from China. Fears of a hard landing abound as the authorities attempt to cope with a seemingly explosive boom. In my view, those fears are overblown. Since the Asian crisis of 1997-98, China’s macro managers have defied the naysayers repeatedly. I suspect that a similar outcome is in the offing, as China once again succeeds in avoiding the pitfalls of the dreaded boom-bust syndrome.
...
I remain confident that China will pull it off again — bringing its large and rapidly growing economy in for a soft landing over the next couple of years. Unlike their counterparts in most major economies of the world, Chinese policy makers are frank and transparent when they see a problem of macro management that must be addressed. Notwithstanding the intense debate over China raging in many quarters of the world, I can assure you that inside of China, there is no such debate. From the Premier, to the State Council (the Chinese cabinet), to the central bank, there is unanimous agreement that forceful action needs to be taken to bring China’s lending-driven, investment-led, overheated economy under control. The People’s Bank of China has, in fact, tightened monetary three times in the past seven months in an effort to do just that. Like all central banks, it is mindful of the lags and will probably pause to assess whether the medicine is working. But if there is no slowdown in the months immediately ahead, I have little doubt that further tightening measures will be implemented. And I am equally confident that Chinese policy makers will keep acting until the economy flinches (see my March 24 Global Economic Forum dispatch, “China — Determined to Slow”).
...
The wise men of China have no doubt that the current leadership has learned the lessons of macro management well. They lived through China’s soft landing a decade ago, and are convinced that the authorities are perfectly capable of pulling it off again. I couldn’t agree more. If my personal experience over the past several years tells me one thing, it’s not to underestimate the capacity of modern China to rise to the occasion. My bet is on another soft landing later this year and well into 2005."
It would appear that China is at least trying to not commit the big fraud as you correctly described Message 20042246 the episode of Fiat Money Inflation in France .
Chugs, Jay |
