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Strategies & Market Trends : The Epic American Credit and Bond Bubble Laboratory -- Ignore unavailable to you. Want to Upgrade?

To: GST who wrote (109409)	12/31/2010 11:22:46 AM
From: russwinter	3 Recommendations Read Replies (2) \| Respond to of 110194

It is really an issue of killing their common people with inflation and failing to pass on much of the benefits of the "growth". They have an exploitive system designed to pay off a select crony class. Now they are going to pay the price. I am predicting huge social upheaval in China. These migrants workers are going home, emptying out the productive sector. As a sign of the desperation Beijing raised minimum wages 21%, this is going on all over. Finally they let the Yuan rise 1 and a half percent this week, which is a drop in the bucket of what is necessary to prop standards of living there. They are way behind the curve. Ultimately the Yuan is overvalued, not undervalued. The export sector will be sacrificed and severely downsized, right as western companies pour in. And the real estate bubble, well that one goes without saying on a site focused on bubbles. This Chinese democracy activist described the situation well: asianews.it "China’s economic policy is not to develop China’s own economy, but to make some people rich. Its aim is to maintain cheap labor. So the Chinese Communist regime will not allow the Chinese currency RMB to appreciate, nor let the free flow of markets in between China and the foreign countries. Maintaining the enormous gap between the Chinese and the foreign markets is the fundamental policy for the Chinese Communist regime to get rich in unity with the capitalists in the world. Only an authoritarian regime could have done so. Therefore, the existence of this authoritarian regime is the root cause of the deformed Chinese economy. As long as China is undemocratic, this situation will continue until the collapse of Chinese Communist regime."