Forum Post: So the world turns to China to bail everyone else out?
Posted 12 years ago on Nov. 9, 2011, 12:14 p.m. EST by onemoe
(78)
This content is user submitted and not an official statement
This article basically says we will be in very bad shape if we don't allow China to do a world bailout. How do you say "would like fries with that" in Chinese? Seriously we turn to a country with a civil rights record that we have cried about for years but when it comes down to the money we are willing to overlook that record. We are also willing to overlook that the Chinese may have had something to do with this by manipulating their own currency to weld an unfair advantage against countries who cannot do the same thing. I think it would be a bad thing for the Chinese to be our saviors. I would prefer a kinder gentler savior that allows me to express opinions like this. It would not happen so easily in China.
http://www.msnbc.msn.com/id/45221062/ns/business-world_business/#.Trq0jzDlawY
At this rate we just need to rip the band-aid off and go into depression. I think once that happens things will realign.
The Chinese increasingly are building equity while the rest of the world is going down the debt hole. When, as a nation, you borrow 4 billion dollars a day, who do you turn to? Sure, the Chinese suck and they break all the rules. But they got the dough we need to fullfill our addiction to spending.
It ain't gonna be pretty in a very short time. Either we (US and other debtor nations like UK, Italy, Greece, Portugal, etc.) will enter a world depression or wake up and reduce the spending. A savior? A bailout? In the long term, there is no such thing.
The Chinese have been doing some things that are not good economically they used real estate development in much the same way we did. The problem with using a housing market as part of the GDP is that you can overbuild which they are doing now they have entire areas the size of small towns just waiting to be lived in but no one has the money yet.
We could have just as much dough as the Chinese if we were willing to live frugally like them. But even OWS protestors can't live without laptops. How many Chinese have laptops?
You need to fact check yourself the chinese may be lagging behind us as consumers but they have cars laptops and way more. They have become second only to the US in greenhouse gas production and fuel usage. They travel abroad and want to buy Gucci and Fendi and all the other same crap that the free world buys. Simply due to the fact that there are so many Chinese the average income for the country remains low. But keep this in mind India who has a similar sized population has more middle class than the entire population of the US. It should not take China long. I guess China finally figured out that if you want to truly own people you have to give them some money to spend and get them to go into debt. That way no one truly owns anything. Except for the lender they own everything. The lender in their case is the state.
Occupy India. How dare they!