China is the biggest Bubble in History

China is the biggest bubble ever. All the facts about China's Bubble:
http://israelfinancialexpert.blogspot.com/2010/01/50-facts-about-chinas-bubbl...

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News & Politics

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• 'Mish' Mike Shedlock Mish
• China Bubble

[hpd707]

@nokia3210fuck China is being used by the international bankers. China has given credit to nations that are not credit worthy. Do you really think the US will ever pay back their debt? Now, if the debt China held was backed by gold or something else tangible and durable, I would say China could rule the world, but the "money" is just electronic blips on somebody's computer hard drive. We are all being had. The international bankers have everyone by the balls.

[Norwegian733]

@tayronachan The regional debt in China is massive. In fact, its about as large compared to GDP as Greece.

The different regions in China has geared up their economy so much by massive loans that it can trigger a massive collapse in the whole country.

I hope it does.

[davyoa]

haha... thats true to a certain extent...

and the US and and now Europe is the biggest burst bubble example...

[daltonagre]

Astrologers are better, talking about the future, than economists. I live in Brazil.

[moistfaucet]

@Norwegian733, agree, sometimes we are just addicted to debt. thanks to capitalism.

[Norwegian733]

@moistfaucet Its not wrong to have debt. Remember that the US loans capital for almost nothing (maybe 2%), while the inflation is suppose to be 2%. And furthermore, its invested in a economy that over time will pay off more than 2%. Its the lenders that loose money on this deal. Not the US. But of course, to much debt is dangerous and the US is balancing on the edge. Rise of interest rates now might destroy the economic rise.

[moistfaucet]

all of you like to point finger to some else, we should ask ourselves now, how come we can get into the DEBT in the FIRST PLACE ? This is the right questions to ASK. not AFTER you have DEBT.

[Norwegian733]

@alfredzlee Wrong. You cant do straight forward math like that. Its like comparing the US to Somalia.

[Norwegian733]

@TheDualEconomist Its the regional debt that is really large in China.

[ThePinkFloydian1995]

@tayronachan

Finally, if you count all the debt in China's banks (which they would have to take on), the debt/GDP ratio expands to around 190% -- and there are some estimates that put it over 200%.

This makes China one of the most debt-ridden countries in the world -- second only to Japan, and almost twice as much as the U.S.

[ThePinkFloydian1995]

@tayronachan

Wrongo.

First off, even the official number for Chinese debt is higher than 6%.

Secondly, if you count the debt China hides off their books, their debt/GDP ratio is aroung 75% -- by the lowest estimates (some put it as high as 85%) -- worse than debt in the U.S. before we took on the debt of Fannie Mae/Freddie Mac. If China takes on the debt of its local governments, it skyrockets to 159% -- on par with *Greece*.