The Stream - Is China's $6 trillion economy on a bubble?

[Quartz482]

@stealthpakfa lol....like i said to the other fellow china is a ponzi scheme. listen to the latest imf report on china. u can say what u want to believe 50 different ways but the power lies with the nation that innovates. not a communist slave 2 demensional one. stay off the crack pipe mate....$400 per mos salary does not bring wealth to a billion chinamans

[stealthpakfa]

30 years of doom on china and been wrong for 30 years.

china will overtake the US economy in 2019.

bookmark it on your calendar.

[Quartz482]

What is frightening is about 1 year before the US housing bubble we were on a website pasting an economists dire warnings. Everybody said we were lying and JEALOUS of the USA. The mainstream media REFUSED to aire the story. Now, here we are again. 60 million newly built condos, a dozen empty super-malls, empty streets, empty train stations, empty everything and construction continues for millions of more condos.....WHERE IS THE MEDIA AGAIN???

[Quartz482]

china is attempting to avert a civil war as factories are shutting down. 45% reduction in spending in many parts of Europe, the USA etc. Many factories in China continue to build products and running out of space in warehouses...nobody is buying those products!!! Several factories relocated to Mexico, Chinese business men were sending their money to over seas banks until the Chinese govt stepped in and put a stop to it. The govt now takes away a % off a pay cheque to hand off to the banks...

[Quartz482]

...banks who are bankrolling collaped businesses just so they could continue paying their workers. Have you guys seen the ghost CITIES? I am not talking about ghost towns here but GHOST CITIES!! The big question is this......WHEN will China admit that it is collapsing and facing a civil war? 20,000 violent clashes per year in a country where NOBODY EVER dared to challenge authority. 2013 is the year pegged for civil uprising. PULL YOUR MONEY OUT. SELL WHAT YOU CAN AND EVACUATE!!!

[stealthpakfa]

@Quartz482 take ur medicine today?

[timeweston]

Am I obtuse or when a Government Central bank is '100% dedicated to bailing out all financial institutions in (it's country)' ..doesn't that kind of security CREATE a false bubble? The fact that the current reserves are full doesn't change the endgame. When China bursts there's going to be more than just sh!t that hits the fan.

[TheDualEconomist]

@timeweston Yes and this is exactly why Socialism and Communism ultimately end in a huge collapse.

[timeweston]

@TheDualEconomist I remember a conversation I had with a friend ten years ago at a party, we were in our twenties and arguing about China..he touting it as the 'dragon' with an economic model superior to the free market. Everyone could see a big crash coming in the West, that was a given in the 'naughties', so he was convincing. However, I asked...'what happens when people stop buying all that shit?' I don't know how I knew I was right then, as I know I'm right now.

[TheDualEconomist]

@timeweston In the West, we should be used to such doom and gloom by now. We've been predicting our own collapse since the economy starting becoming more global. I was too young to witness the Japanese fear when it was new, but since this whole China scare I've been going back and reading some articles posted at the time. Newseek and Times magazine both published an article saying that Japan would overtake America and be the new hegemony in 1993. In 1989 the banks had collapsed, just didn't know

[TheDualEconomist]

@timeweston 2nd post: Also, given that China is Communist country, you can't help but compare it to Soviet Union and over dictatorships that, one the surface, appeared to have great economies but then suddenly collapsed which led to social unrest and huge problems.

I am almost entirely certain this will happen in China.

Then, of course, there's the whole problem of China bullying its neighbors and India damn near close to starting border wars with China.

[timeweston]

@TheDualEconomist You can add a further social complication into the economic mix; The one child policy was introduced as a temporary measure....25 years ago. They now have a generation of single child families...and for every 100 women..there are 115 men. Girls don't have the same 'value' as boys, hence infanticides, abortions, child thefts and baby selling. What will happen as this policy consumes another generation...150 men for every 100 women? That's major trouble.

[TheDualEconomist]

@timeweston Exactly. That would be horrible in the developed world. In China, they don't have the social safety net, that would catastrophic. In an economy based on labor, killing off your labor is ... indescribable. In a decade or so, when this REALLY starts to wreak havoc on China, probably after their bubble bursting has caused enormous problems, each individual person isn't going to have the wealth to support his family.

[TheDualEconomist]

@timeweston 2nd Post: And, if that wasn't bad enough, pollution is worse. Some estimates already say pollution is more than their GDP.

-- And, to clarify, more recent estimates state that there are 119 men for every 100 women. By, 2025, that's expected to be in the upper 120's, lower 130's.

[stephentsang2000]

China's stock drop was because of government intervention to cool down the stock market. Apparently, these morons don't have any observers stationed in China to keep constant watch on China's short-term policies.

[HunterAVH]

I love watching these videos and I love the show. Keep up the good work Al Jazeera!

Note: I think that there is an issue with the audio syncing with the video. Someone might want to look into it. It progressively gets worse throughout the episodes. It starts okay but then by the end it's like watching an old school kung fu movie that's dubbed.