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Politics : Politics for Conservatives

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DinoNavarre

pheilman_

To: J.B.C. who wrote (122905)	5/1/2025 9:44:40 AM
From: D. Long	2 Recommendations of 125124

China can't win, especially if the rest of the developed (consuming) world follows us. The Chinese save too much. They save 40% of their incomes. That's why all the talk about evolving China into a consumer economy: to balance trade, they need to stop saving so much and buying more. There are structural and cultural reasons why they won't, however, or not without completing altering their society. China's economy has gone deflationary since the tariffs. Their internal consumption can't pick up the slack of exports slowing to the US. They grow their economy by exporting and fake infrastructure construction to balloon their GDP. No exports, not enough internal consumption = deflation. Xi has to fold or he will have mass unemployment and mass dissatisfaction with the CCP. We are a consumer nation: we will pay more for goods, though it will hurt a bit. They will fold before Trump will, IMO.

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