More signs of pending Chinese Econ Collapse

glockfan · March 18, 2012, 18:19

http://www.economicpolicyjournal.com...tinues-to.html

http://www.economicpolicyjournal.com...s-warning.html

**308bolt** · March 18, 2012, 18:39

It's a race to the bottom.
Who's winning?

**Thorack** · March 18, 2012, 21:35

Wow,

China collapses and I think there will be alot of new Russians from China and they might not be friendly. Russia largest land mass in the world and only 100 million folks, looks prime for resettlement.

Thorack

glockfan · March 19, 2012, 00:27

For those interested in reading more, here are some additional brief articles from the excellent economicpolicyjournal.com site. Keep in mind that Robert Wenzel has been extremely accurate with his predictions, including both the housing collapse in 08 that was actually laughed at by some Fed officials to the latest mini boom manipulated by the Fed that took people like Krugman completely by surprise, so I would take everything he says very seriously.

http://www.economicpolicyjournal.com...-of-china.html

http://www.economicpolicyjournal.com...king-time.html

http://www.economicpolicyjournal.com...eveloping.html

RG Coburn · March 19, 2012, 13:00

The Chinese will adapt to an austire lifestyle much more easily than those here slurping off fedgov teet..

rowjimmy · March 19, 2012, 16:42

Does this mean the price of General Tso's chicken will come down?

one hand clapping · March 19, 2012, 16:59

Quote:

Originally Posted by rowjimmy

Does this mean the price of General Tso's chicken will come down?

Only for the chairman's new american special -double breaded white meat or a side of refried honky

Pistolwiz · March 19, 2012, 22:51

Quote:

Originally Posted by rowjimmy

Does this mean the price of General Tso's chicken will come down?

No..... But it won't be as spicy and have a lot more MSG.

gates · March 20, 2012, 01:18

Guys - this is a GLOBAL issue - race to the bottom is exactly correct, ALL these asshat central bankers are playing off the SAME playbook - it WILL end badly.

rowjimmy · March 20, 2012, 05:39

Quote:

Originally Posted by 308bolt

Who's winning?

Charlie Sheen?

sf46 · March 21, 2012, 00:16

Ok, so what do you guys see as the ramifications of this?

glockfan · March 21, 2012, 00:37

http://www.economicpolicyjournal.com...-of-china.html

For those who don't want to read the email sent to Wenzel and the associated bloomberg article (that misses the point toward the end), high end places like Mercedes dealers that were booming are lowering prices by 25% just to try and move cars.

gates · March 21, 2012, 18:05

sf - eventually? trade wars then hot wars then...

glockfan · March 23, 2012, 17:39

http://www.economicpolicyjournal.com...-question.html

http://www.economicpolicyjournal.com...hina-hard.html

Here are a couple excerpts:

The latest container shipments into the port of Los Angeles and Long Beach confirm that China (and Asia) is no longer nearly as much in the game. Inbound is down 10% from last year and 20% from the same month in 2007...

and

As China's economy crashes Bo Xilai, Communist Party chief of China’s very important Chongqing municipality, has been removed from his post....The the official Xinhua news agency said that Vice Prime Minister Zhang Dejiang, a North Korean-educated economist, would replace him as Chongqing party secretary.

Given China's mad-mix of heavy municipal central planning, crazed money printing and some free market pockets. Harvard's Greg Mankiw asks a very scary but important question:

I wonder: What is economics education like in North Korea?

**2barearms** · March 23, 2012, 19:14

Quote:

Originally Posted by glockfan

http://www.economicpolicyjournal.com...-of-china.html

For those who don't want to read the email sent to Wenzel and the associated bloomberg article (that misses the point toward the end), high end places like Mercedes dealers that were booming are lowering prices by 25% just to try and move cars.

They do that here, I haven't bought a new F150 yet that didn't come with
$5000 discount. It's way more than that on the F250's/350's.

**alant** · March 23, 2012, 19:41

A North Korean-educated economist - went to the same school of economics as the Tooth Fairy and Easter Bunny?

Does that mean China is going to plow under food crops and plant poppies? Or start selling nuclear technology?

Satellites show more poppy fields in the North
http://koreajoongangdaily.joinsmsn.c...px?aid=2936095
The images from Amnesty International released May 3 showed that the complex at Yodok Kwanliso No. 15 camp in South Hamgyong had become bigger, suggesting a larger population of political prisoners than a decade earlier, and so had its poppy fields.

“The areas originally used for poppy production, which we discovered in 2001, are still being used, but on a bigger scale,” said one South Korean expert on the issue.

http://pjmedia.com/tatler/2011/05/11...as-no-comment/
Just how big the North Korean production of heroin has become is astonishing, according to analysts and intelligence reports, and has been largely overlooked as the international community focused on a bigger issue– the sale of nuclear materials and technology. “It has gotten surprisingly little attention in the last ten years,” according to Bruce Bennett of the RAND corporation.

RG Coburn · March 23, 2012, 19:50

You want a big stockpile of opiates just prior to either waging,or expecting someone to wage war upon you.Think morphine.

glockfan · April 13, 2012, 02:29

http://www.economicpolicyjournal.com...-in-china.html

http://www.youtube.com/watch?feature...&v=wm7rOKT151Y

gates · April 13, 2012, 09:40

RG - thats a damned good point, considering they execute you for dealing drugs there it does cause one to raise an eyebrow...

FAL freek · April 16, 2012, 23:02

Russia should start strengthening it's military.

gates · April 17, 2012, 00:13

meh - it will go nuclear fast - Russia has some badass dudes in Spec Ops but I think the bigger picture is probably a shadow of what they had - China will use her 300m surplus of men and lose her major cities if she ties this.

**Thorack** · April 17, 2012, 07:33

Hmmm,

There was an article in the Omaha paper Sunday about the number of visas being bought in China for a $1M investment in the US you can get a visa. The US embassy in China is swamped with applicants that want to leave China because of the rampant corruption. They said the program ends this September unless congress extends it. Pretty much as sure thing. I guess money is circular.

Thorack

FAL freek · April 19, 2012, 08:12

Quote:

Originally Posted by gates

meh - it will go nuclear fast - Russia has some badass dudes in Spec Ops but I think the bigger picture is probably a shadow of what they had - China will use her 300m surplus of men and lose her major cities if she ties this.

Always heard it was 43 million more males than females. The closest article I could find that had a definitive number was a NYT article from 2009 and put the number a 32 million. At the very least they have 32 million men with no prospect of finding a permanent mate and as opposed to a population of 143 million in Russia that translates to 22% of their population they could lose without it even affecting the country . And it has been noted by the Chinese authorities the social implications that will cause for the country.

http://www.nytimes.com/2009/04/11/wo...hina.html?_r=1

China has "da bomb" as well and the thought that they could easily lose 1/2 their population and still be the 2nd most populous nation on earth is a bit unsettling. You might also want to do some research on Chinas philosophy of their 3rd front. I've always understood it to still be a part of their military philosophy today.

http://chineseculture.about.com/od/h...hird-Front.htm

Ever since the end of the Cold War it's been said in many circles that the next use of "da bomb" will probably be because of the Third Worlds rapidly increasing population and the graying population of the Developed countries and the economic disparity that is the result of high birth rates. Developed nations are going to have to rely more and more on going nuclear to protect their borders. Whether it will be used in Sino-Russian relations or not only time will tell but Siberia is a big place with lots of resources and China is in need of both and with the long history of clashes between the two countries even at the best of times somewhere in the future a conflict is inevitable.

gates · April 19, 2012, 14:03

You may be right I don't know why 300 stuck in my head - 32 million is still a big damn problem - either way they gots too many mens and not enough wimmins.

glockfan · April 19, 2012, 20:36

http://www.economicpolicyjournal.com...en-to-its.html

Check this one out!

Will China's System Be Shaken to It's Core
Tim Staermose explains why this might just happen, and happen now, because of the developing economic crisis:

Reporting From: Hong Kong

One of the defining characteristics of EVERY boom is the presence of a small elite seeking to enrich itself through graft, corruption, and unethical behavior.

When the music stops and the boom busts, these same people are frequently put to the sword of public opinion. Think Bernie Madoff, Ken Lay, and Silvio Berlusconi.

The Chinese economic "miracle" of the past three decades will prove to be NO EXCEPTION.

I'm convinced that history will one day show that corrupt Communist party officials, in cahoots with shady developers and construction moguls, systematically plundered the Chinese economy, getting rich off the hard work and savings of the average person.

It's been happening on an unimaginable scale... and the fuse for the whole rotten mess to explode may have just been lit with this Bo Xilai scandal. To review, briefly:

- Bo Xilai, the former mayor of China's largest city of Chongqing, was once one of the rising stars of the Communist party and being groomed for a top spot in the Politburo.

- Wang Lijun was his police chief and right hand man.

- Together, Bo and Wang waged a high profile campaign to stamp out organized crime in the region, jailing and even executing supposed underworld bosses and corrupt businessmen.

(As it appears now, they may have simply been eliminating their competition.)

- The two had an apparent falling out, allegedly over evidence that Bo's wife was involved in the death of British expat Neil Heywood.

- Heywood had been a longtime confidant of the Bo family. His death late last year was originally ruled as a heart attack, however there is now so much conflicting evidence that many are suggesting Heywood was going to come forward with extensive records of Bo's shady business dealings.

- After being stripped of his rank by Bo, Wang went to both the US consulate and British High Commission seeking asylum in exchange for information about Bo's impropriety. He was politely rejected.

- Bo has now been relieved of his powers amid a flurry of evidence and allegations that he and Wang siphoned off hundreds of millions of dollars from Chongqing's economic boom and secreted the funds out of the country.

- Meanwhile Bo's wife is under arrest for suspicion of murdering Mr. Heywood. Mr. Wang is also in the custody of Chinese authorities.

- Bo's son, a lavish partier who attends $90,000/year graduate school and drives around campus in European supercars, is hiding out in the United States.

The top echelons of the communist party are now working overtime to snuff out the scandal lest their own financial dealings and personal dirty linen be aired in public.

But, they're fighting an uphill battle. The rapid spread in China of micro-blogging services (like Twitter) mean that the party's censors have a real battle on their hands.

Sordid details have already emerged of an affair between Gu Kailai and Heywood, and the word is that Bo had him poisoned with cyanide. There are also allegations that the Bo family has siphoned hundreds of millions of dollars out of China into a web of companies controlled via offshore tax havens.

Blocking the use of the names of key figures in the scandal was one thing the censors tried. It didn't work. The bloggers are always one step ahead, and they simply devised code names for all the key figures involved.

All this serves to illustrate what is widely known but never openly talked about: in China, just as in most countries, there are two distinct sets of rules. One for the powerful elite, and one for everyone else. It's a delicate balance that always works... until it doesn't.

This affair has real potential to widely expose just how greedy, corrupt, and colossally abusive China's elite has been for years. That it comes at a time when China's economy is slowing will probably multiply the effect.

If a self-immolating Tunisian fruit merchant had the power to spark a wave of revolution across the Middle East, it certainly stands to reason that this scandal may create similar indignation for the ruling class in China... and thus shake the system to its core.

Tim Staermose, Chief Investment Strategist at Sovereign Man.

carguym14 · April 25, 2012, 10:37

http://www.tirereview.com/Article/99...celerates.aspx

Tire demand in China, the world's largest rubber consumer, is growing at a slower pace than last year as the country's economic expansion is decelerating, a Bridgestone Corp. representative told Bloomberg.

According to the report, Vice President Makio Ohashi said China is in an “adjustment phase,” and that growth in tire sales for trucks and buses, or half of the country’s demand, may slow to near the rate of gross domestic product expansion at 7.5 %to 8% annually from last year’s 11%. Passenger car tire sales also are slowing from last year’s 16%.

Bawana jim · April 25, 2012, 10:52

http://www.freerepublic.com/focus/f-news/2876320/posts

glockfan · May 10, 2012, 23:22

http://www.economicpolicyjournal.com...-in-china.html

China announced Thursday that growth in imports had unexpectedly come to a screeching halt in April — rising just 0.3 percent from the same period a year earlier, compared with expectations for an 11 percent increase. Businesses across the country appeared to lose much of their appetite for products as varied as iron ore and computer chips..

Growth in other sectors appears to be slowing, too, particularly in real estate. Soufun Holdings, a Chinese real estate data provider, released figures Monday showing that residential land sales in the country’s 20 largest cities had fallen 92 percent last week from the week before, as declining prices for apartments have left developers short of cash and reluctant to start further projects.

**2barearms** · May 11, 2012, 06:33

Quote:

Originally Posted by glockfan

http://www.economicpolicyjournal.com...-in-china.html

China announced Thursday that growth in imports had unexpectedly come to a screeching halt in April — rising just 0.3 percent from the same period a year earlier, compared with expectations for an 11 percent increase. Businesses across the country appeared to lose much of their appetite for products as varied as iron ore and computer chips..

Growth in other sectors appears to be slowing, too, particularly in real estate. Soufun Holdings, a Chinese real estate data provider, released figures Monday showing that residential land sales in the country’s 20 largest cities had fallen 92 percent last week from the week before, as declining prices for apartments have left developers short of cash and reluctant to start further projects.

The Chinese while incredibly intelligent from a technical perspective
seem to lack the ability to visualize scenarios or put things into context.
They seem to blindly do what's in front of them. The 'ghost towns' that
were built and never used are an example of extreme preplanning. Foxxconn
may be responsible for some of this thinking, the Chinese government built
them and some of the other parts suppliers an entire city to build phones
and Ipads, while we still have some gold rush stuff taking place it's nowhere
near the scale with which the Chicoms will plunge into. Some of this extreme
plunging is bound to backfire at some point.

carguym14 · May 11, 2012, 08:42

It's almost like the whole world was in a credit induced spending spree..........and now just about everyone is broke.

gates · May 11, 2012, 09:43

Car - you would be correct, most economies adopted the Keynesian model and needs to spend beyond their productive means to keep their populace from revolting so they print to make up the difference, the secondary reason is the race to the bottom concept - if your currency strengthens too much you lose your competitive edge - we're caught in a worldwide death spiral - the leechfuk populations are demanding their free shit that cannot be supported by direct taxation so it's being provided by inflating the money supply spreading the indirect tax of inflation across the whole population... nice boiled frog strategy - works until it doesn't... then you get the Arab Spring - world wide.

How do you FIX this? - population reduction is the answer but the trick is to leave the infrastructure untouched as you kill off the excess eaters - a virus or plague would be the choice over war this time around...

Deltaten · May 11, 2012, 20:07

Nah!! Cobalt nuke

glockfan · May 12, 2012, 00:10

Quote:

It's almost like the whole world was in a credit induced spending spree..........and now just about everyone is broke.

Now you are seeing why politicians all over the world love the Keyensian idea of fiat paper money with no precious metal backing or no competition among currencies like here in the US with legal tender laws.

If you were a sociopathic politician, wouldn't you want to be able to just spend like crazy and never have to worry about being within budget? And just simply creating more currency whenever money starts to run tight? Who wants to appeal to the voters as cutting their spending and programs?

March 18, 2012, 18:19	#1
glockfan Registered FALaholic #: 42500 Join Date: Feb 2009 Location: usa Posts: 1,309	More signs of pending Chinese Econ Collapse http://www.economicpolicyjournal.com...tinues-to.html http://www.economicpolicyjournal.com...s-warning.html __________________ "Truth is treason in the empire of lies." - Ron Paul

March 18, 2012, 18:39	#2
308bolt Heathen Silver Contributor FALaholic #: 19255 Join Date: Feb 2006 Location: Wisconsin Posts: 19,943	It's a race to the bottom. Who's winning? __________________ "The bandwagons rumble past. I sit here on the curb," ~ John Hartford ~ "Nil desperandum, -- Never Despair. That is a motto for you and me. All are not dead; and where there is a spark of patriotic fire, we will rekindle it." ~ Samuel Adams ~

March 18, 2012, 21:35	#3
Thorack Acquisition Corp Dude Bronze Contributor FALaholic #: 748 Join Date: Aug 2000 Location: Omaha, Nebraska, USA Posts: 5,603	Wow, China collapses and I think there will be alot of new Russians from China and they might not be friendly. Russia largest land mass in the world and only 100 million folks, looks prime for resettlement. Thorack __________________ 1. Whenever you are talking to a woman realize this person was born insane and you will never be surprised. 2. Never let Doctors cut on you unless its life or death and ALWAYS get a second opinion.

March 19, 2012, 00:27	#4
glockfan Registered FALaholic #: 42500 Join Date: Feb 2009 Location: usa Posts: 1,309	For those interested in reading more, here are some additional brief articles from the excellent economicpolicyjournal.com site. Keep in mind that Robert Wenzel has been extremely accurate with his predictions, including both the housing collapse in 08 that was actually laughed at by some Fed officials to the latest mini boom manipulated by the Fed that took people like Krugman completely by surprise, so I would take everything he says very seriously. http://www.economicpolicyjournal.com...-of-china.html http://www.economicpolicyjournal.com...king-time.html http://www.economicpolicyjournal.com...eveloping.html __________________ "Truth is treason in the empire of lies." - Ron Paul Last edited by glockfan; March 19, 2012 at 00:35.

March 21, 2012, 00:16	#11
sf46 Registered FALaholic #: 590 Join Date: Aug 2000 Location: USA Posts: 802	Ok, so what do you guys see as the ramifications of this? __________________ For he is the minister of God to thee for good. But if thou do that which is evil, be afraid; for he beareth not the sword in vain: for he is the minister of God, a revenger to execute wrath upon him that doeth evil. Romans 13:4 - God's description of cops http://militarysignatures.com/signatures/member1194.png

March 19, 2012, 13:00	#5
RG Coburn Registered FALaholic #: 27406 Join Date: Mar 2007 Posts: 10,860	The Chinese will adapt to an austire lifestyle much more easily than those here slurping off fedgov teet..

March 19, 2012, 16:42	#6
rowjimmy Registered FALaholic #: 21662 Join Date: Nov 2006 Location: Central PA Posts: 3,395	Does this mean the price of General Tso's chicken will come down?

March 20, 2012, 01:18	#9
gates Registered FALaholic #: 129 Join Date: Jul 2000 Location: phx az Posts: 10,312	Guys - this is a GLOBAL issue - race to the bottom is exactly correct, ALL these asshat central bankers are playing off the SAME playbook - it WILL end badly.

March 21, 2012, 00:37	#12
glockfan Registered FALaholic #: 42500 Join Date: Feb 2009 Location: usa Posts: 1,309	http://www.economicpolicyjournal.com...-of-china.html For those who don't want to read the email sent to Wenzel and the associated bloomberg article (that misses the point toward the end), high end places like Mercedes dealers that were booming are lowering prices by 25% just to try and move cars. __________________ "Truth is treason in the empire of lies." - Ron Paul

March 21, 2012, 18:05	#13
gates Registered FALaholic #: 129 Join Date: Jul 2000 Location: phx az Posts: 10,312	sf - eventually? trade wars then hot wars then...

March 23, 2012, 17:39	#14
glockfan Registered FALaholic #: 42500 Join Date: Feb 2009 Location: usa Posts: 1,309	http://www.economicpolicyjournal.com...-question.html http://www.economicpolicyjournal.com...hina-hard.html Here are a couple excerpts: The latest container shipments into the port of Los Angeles and Long Beach confirm that China (and Asia) is no longer nearly as much in the game. Inbound is down 10% from last year and 20% from the same month in 2007... and As China's economy crashes Bo Xilai, Communist Party chief of China’s very important Chongqing municipality, has been removed from his post....The the official Xinhua news agency said that Vice Prime Minister Zhang Dejiang, a North Korean-educated economist, would replace him as Chongqing party secretary. Given China's mad-mix of heavy municipal central planning, crazed money printing and some free market pockets. Harvard's Greg Mankiw asks a very scary but important question: I wonder: What is economics education like in North Korea? __________________ "Truth is treason in the empire of lies." - Ron Paul

March 23, 2012, 19:41	#16
alant Curio & Relic Contributor FALaholic #: 46689 Join Date: Jun 2009 Location: Maine Posts: 4,132	A North Korean-educated economist - went to the same school of economics as the Tooth Fairy and Easter Bunny? Does that mean China is going to plow under food crops and plant poppies? Or start selling nuclear technology? Satellites show more poppy fields in the North http://koreajoongangdaily.joinsmsn.c...px?aid=2936095 The images from Amnesty International released May 3 showed that the complex at Yodok Kwanliso No. 15 camp in South Hamgyong had become bigger, suggesting a larger population of political prisoners than a decade earlier, and so had its poppy fields. “The areas originally used for poppy production, which we discovered in 2001, are still being used, but on a bigger scale,” said one South Korean expert on the issue. http://pjmedia.com/tatler/2011/05/11...as-no-comment/ Just how big the North Korean production of heroin has become is astonishing, according to analysts and intelligence reports, and has been largely overlooked as the international community focused on a bigger issue– the sale of nuclear materials and technology. “It has gotten surprisingly little attention in the last ten years,” according to Bruce Bennett of the RAND corporation. __________________ May those that love us, love us. And those that don't love us, May God turn their hearts. And if He can't turn their hearts May He turn their ankles, so we'll know them by their limp. - Old Gaelic Blessing

March 23, 2012, 19:50	#17
RG Coburn Registered FALaholic #: 27406 Join Date: Mar 2007 Posts: 10,860	You want a big stockpile of opiates just prior to either waging,or expecting someone to wage war upon you.Think morphine.

April 13, 2012, 02:29	#18
glockfan Registered FALaholic #: 42500 Join Date: Feb 2009 Location: usa Posts: 1,309	http://www.economicpolicyjournal.com...-in-china.html http://www.youtube.com/watch?feature...&v=wm7rOKT151Y __________________ "Truth is treason in the empire of lies." - Ron Paul

April 13, 2012, 09:40	#19
gates Registered FALaholic #: 129 Join Date: Jul 2000 Location: phx az Posts: 10,312	RG - thats a damned good point, considering they execute you for dealing drugs there it does cause one to raise an eyebrow...

April 16, 2012, 23:02	#20
FAL freek Registered FALaholic #: 10400 Join Date: Apr 2003 Location: TN Posts: 7,178	Russia should start strengthening it's military. __________________ Please put the Constitution on the teleprompter Liberals want diversity in everything except your opinion.

April 17, 2012, 00:13	#21
gates Registered FALaholic #: 129 Join Date: Jul 2000 Location: phx az Posts: 10,312	meh - it will go nuclear fast - Russia has some badass dudes in Spec Ops but I think the bigger picture is probably a shadow of what they had - China will use her 300m surplus of men and lose her major cities if she ties this.

April 17, 2012, 07:33	#22
Thorack Acquisition Corp Dude Bronze Contributor FALaholic #: 748 Join Date: Aug 2000 Location: Omaha, Nebraska, USA Posts: 5,603	Hmmm, There was an article in the Omaha paper Sunday about the number of visas being bought in China for a $1M investment in the US you can get a visa. The US embassy in China is swamped with applicants that want to leave China because of the rampant corruption. They said the program ends this September unless congress extends it. Pretty much as sure thing. I guess money is circular. Thorack __________________ 1. Whenever you are talking to a woman realize this person was born insane and you will never be surprised. 2. Never let Doctors cut on you unless its life or death and ALWAYS get a second opinion.

April 19, 2012, 14:03	#24
gates Registered FALaholic #: 129 Join Date: Jul 2000 Location: phx az Posts: 10,312	You may be right I don't know why 300 stuck in my head - 32 million is still a big damn problem - either way they gots too many mens and not enough wimmins.

April 19, 2012, 20:36	#25
glockfan Registered FALaholic #: 42500 Join Date: Feb 2009 Location: usa Posts: 1,309	http://www.economicpolicyjournal.com...en-to-its.html Check this one out! Will China's System Be Shaken to It's Core Tim Staermose explains why this might just happen, and happen now, because of the developing economic crisis: Reporting From: Hong Kong One of the defining characteristics of EVERY boom is the presence of a small elite seeking to enrich itself through graft, corruption, and unethical behavior. When the music stops and the boom busts, these same people are frequently put to the sword of public opinion. Think Bernie Madoff, Ken Lay, and Silvio Berlusconi. The Chinese economic "miracle" of the past three decades will prove to be NO EXCEPTION. I'm convinced that history will one day show that corrupt Communist party officials, in cahoots with shady developers and construction moguls, systematically plundered the Chinese economy, getting rich off the hard work and savings of the average person. It's been happening on an unimaginable scale... and the fuse for the whole rotten mess to explode may have just been lit with this Bo Xilai scandal. To review, briefly: - Bo Xilai, the former mayor of China's largest city of Chongqing, was once one of the rising stars of the Communist party and being groomed for a top spot in the Politburo. - Wang Lijun was his police chief and right hand man. - Together, Bo and Wang waged a high profile campaign to stamp out organized crime in the region, jailing and even executing supposed underworld bosses and corrupt businessmen. (As it appears now, they may have simply been eliminating their competition.) - The two had an apparent falling out, allegedly over evidence that Bo's wife was involved in the death of British expat Neil Heywood. - Heywood had been a longtime confidant of the Bo family. His death late last year was originally ruled as a heart attack, however there is now so much conflicting evidence that many are suggesting Heywood was going to come forward with extensive records of Bo's shady business dealings. - After being stripped of his rank by Bo, Wang went to both the US consulate and British High Commission seeking asylum in exchange for information about Bo's impropriety. He was politely rejected. - Bo has now been relieved of his powers amid a flurry of evidence and allegations that he and Wang siphoned off hundreds of millions of dollars from Chongqing's economic boom and secreted the funds out of the country. - Meanwhile Bo's wife is under arrest for suspicion of murdering Mr. Heywood. Mr. Wang is also in the custody of Chinese authorities. - Bo's son, a lavish partier who attends $90,000/year graduate school and drives around campus in European supercars, is hiding out in the United States. The top echelons of the communist party are now working overtime to snuff out the scandal lest their own financial dealings and personal dirty linen be aired in public. But, they're fighting an uphill battle. The rapid spread in China of micro-blogging services (like Twitter) mean that the party's censors have a real battle on their hands. Sordid details have already emerged of an affair between Gu Kailai and Heywood, and the word is that Bo had him poisoned with cyanide. There are also allegations that the Bo family has siphoned hundreds of millions of dollars out of China into a web of companies controlled via offshore tax havens. Blocking the use of the names of key figures in the scandal was one thing the censors tried. It didn't work. The bloggers are always one step ahead, and they simply devised code names for all the key figures involved. All this serves to illustrate what is widely known but never openly talked about: in China, just as in most countries, there are two distinct sets of rules. One for the powerful elite, and one for everyone else. It's a delicate balance that always works... until it doesn't. This affair has real potential to widely expose just how greedy, corrupt, and colossally abusive China's elite has been for years. That it comes at a time when China's economy is slowing will probably multiply the effect. If a self-immolating Tunisian fruit merchant had the power to spark a wave of revolution across the Middle East, it certainly stands to reason that this scandal may create similar indignation for the ruling class in China... and thus shake the system to its core. Tim Staermose, Chief Investment Strategist at Sovereign Man. __________________ "Truth is treason in the empire of lies." - Ron Paul

April 25, 2012, 10:37	#26
carguym14 Registered Bronze Contributor FALaholic #: 13162 Join Date: Jan 2004 Location: Iowa Posts: 5,959	http://www.tirereview.com/Article/99...celerates.aspx Tire demand in China, the world's largest rubber consumer, is growing at a slower pace than last year as the country's economic expansion is decelerating, a Bridgestone Corp. representative told Bloomberg. According to the report, Vice President Makio Ohashi said China is in an “adjustment phase,” and that growth in tire sales for trucks and buses, or half of the country’s demand, may slow to near the rate of gross domestic product expansion at 7.5 %to 8% annually from last year’s 11%. Passenger car tire sales also are slowing from last year’s 16%. __________________ Anything not under government control is,by definition,out of control. Don't piss down my back and tell me it's raining. When is it time to pick up your rifle? When your conscience cannot abide to see it unused. 1gewehr 8/3/05

April 25, 2012, 10:52	#27
Bawana jim Registered FALaholic #: 17482 Join Date: May 2005 Location: west coast Posts: 5,341	http://www.freerepublic.com/focus/f-news/2876320/posts

May 10, 2012, 23:22	#28
glockfan Registered FALaholic #: 42500 Join Date: Feb 2009 Location: usa Posts: 1,309	http://www.economicpolicyjournal.com...-in-china.html China announced Thursday that growth in imports had unexpectedly come to a screeching halt in April — rising just 0.3 percent from the same period a year earlier, compared with expectations for an 11 percent increase. Businesses across the country appeared to lose much of their appetite for products as varied as iron ore and computer chips.. Growth in other sectors appears to be slowing, too, particularly in real estate. Soufun Holdings, a Chinese real estate data provider, released figures Monday showing that residential land sales in the country’s 20 largest cities had fallen 92 percent last week from the week before, as declining prices for apartments have left developers short of cash and reluctant to start further projects. __________________ "Truth is treason in the empire of lies." - Ron Paul

May 11, 2012, 08:42	#30
carguym14 Registered Bronze Contributor FALaholic #: 13162 Join Date: Jan 2004 Location: Iowa Posts: 5,959	It's almost like the whole world was in a credit induced spending spree..........and now just about everyone is broke. __________________ Anything not under government control is,by definition,out of control. Don't piss down my back and tell me it's raining. When is it time to pick up your rifle? When your conscience cannot abide to see it unused. 1gewehr 8/3/05

May 11, 2012, 09:43	#31
gates Registered FALaholic #: 129 Join Date: Jul 2000 Location: phx az Posts: 10,312	Car - you would be correct, most economies adopted the Keynesian model and needs to spend beyond their productive means to keep their populace from revolting so they print to make up the difference, the secondary reason is the race to the bottom concept - if your currency strengthens too much you lose your competitive edge - we're caught in a worldwide death spiral - the leechfuk populations are demanding their free shit that cannot be supported by direct taxation so it's being provided by inflating the money supply spreading the indirect tax of inflation across the whole population... nice boiled frog strategy - works until it doesn't... then you get the Arab Spring - world wide. How do you FIX this? - population reduction is the answer but the trick is to leave the infrastructure untouched as you kill off the excess eaters - a virus or plague would be the choice over war this time around...

May 11, 2012, 20:07	#32
Deltaten Registered FALaholic #: 124 Join Date: Jul 2000 Location: Lancaster, PA USA Posts: 8,498	Nah!! Cobalt nuke __________________ All or Nothing! Senator McCarthy was right! and as always......FYB!

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