The Great Gold and Silver Mining Rush of the 21st Century Message Board

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Gold/Mining/Energy : The Great Gold and Silver Mining Rush of the 21st Century

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From: Valuepro	12/13/2025 10:45:52 AM
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China must fix economic imbalances as trade surplus hits $1T: IMF Bloomberg News: The International Monetary Fund linked China’s booming exports and growing trade imbalances in part to a real depreciation of the yuan, lending its voice to a debate over distortions caused by a weaker exchange rate. Following the conclusion of the IMF’s annual review of China’s economy, fund officials said the country’s low inflation relative to price levels among its trading partners has led to a weaker yuan in real terms. They urged Chinese policymakers to adopt bolder stimulus to boost consumption, which would lift consumer prices, while allowing more exchange rate flexibility. “As the second-largest economy in the world, China is simply too big to generate much growth from exports,” IMF Managing Director Kristalina Georgieva said at a press briefing in Beijing on Wednesday. “Continuing to depend on export-led growth risks furthering global trade tensions.” The IMF didn’t explicitly recommend that China should push for the yuan’s appreciation, she said. China has moved fast in recent years to gain manufacturing dominance, drawing accusations from the likes of Donald Trump over maintaining an undervalued exchange rate that helped it amass trade surpluses. The IMF appeared to be siding with critics in echoing growing calls abroad and within China for a stronger yuan. The currency’s inflation-adjusted exchange rate fell to the lowest in more than a decade due to persistent falling prices in China, which made its exports more competitively globally. Read more here. The story above looks to be revealing an interesting problem in China's economy that they must address if this is to become a trend. If domestic consumption is falling while exports continue soaring, it means wider swaths of their population are earning less money and experiencing a declining standard of living. What can that lead to? The first thing is an increasing fear of the people by the ruling class resulting in a more tyrannical administration. That, in its extreme, can lead to revolution caused by too much wealth at the top and not enough below that. Herein is what distinguishes stable governments like Canada and US from others; a broad middle class (at least for now, though AI could make a difference).

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