SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Politics : Foreign Affairs Discussion Group
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
From: Sun Tzu5/10/2018 8:30:51 PM
  Read Replies (1) of 281500
 
Trump is likely to bring about the biggest financial collapse of our lifetime. It is of course not a certainty, but most of the dominoes are in place. What leads me to say this is not just his clearly stated animosity towards China and his populist rhetoric. Plenty of populist presidents BS their way to the top, especially during election years. The problem is that (1) his lack of public office and foreign policy experience blinds him to risks, (2) his ego and private business experience makes him believe the problems too easy and prone to shooting from the hip. And (3) He has actually drawn blood. Putting China's 2nd largest telecom and cell phone equipment maker out of business was a very foolish thing, especially since the punishment did not fit the crime.

Trump thinks that because US carries a trade deficit with China, a trade war favors the US. And this is partially true. I say partially, because if you check everything you own and get rid of all that is made in China, you'd be living in a pretty empty place.

On the other hand, a Capital war will favor China...and without much of the drawbacks of a trade ward. China can weather a capital war better than US can weather a trade war.

The real problem is that this combination of trade/capital wars will affect the global economy very much and the excess liquidity that has been pumped into the global economy over the past 2 or 3 crisis has not been drained.

Let's hope for the best.
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News