China near collapse?

Propublica.org comment ^ | 27 August, 2014 | BiberWallgoal

[WilliamofCarmichael]

RE: We owe Red China?

I don't think so.

United States Free Enterprise, INC.

INVOICE

• Capital, Goods and Services stolen and extorted by the Peoples Republic of China
  FDI, Intellectual Property, technology, know how . . . . . . . . . . . . . . .$ 2,500,000,000,000.00

• Payments received from the Peoples Republic of China . . . . . . . . . . .$ 1,300,000,000,000.00
  Amount past due . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,200,000,000,000.00

Your Treasury certificates are your payment receipts. Thank you.

[bigbob]

Having to un-pin the ruan and trying to maintain demand as exports drop are tough challenges for a centrally planned economy.

[deadrock]

Well, there is only one remedy.

Bring jobs back now. That will save them.

[ifinnegan]

“I do not think their “long game” is so great.”

Funny post. Perceptive and informative.

[SeaHawkFan]

I have said for MANY years that Wal-Mart will be a major factor in the collapse of the Chinese economy. Virtually everything sold to Wal-Mart and other major retailers is sold at a loss because the manufacturers are subsidized by the Chinese government. That can’t go on forever.

As for the U.S. debt the Chinese holds, they will have to discount it significantly if they ever decide to sell it in large numbers.

[arthurus]

Chine will have a war with somebody. That’s what you have to do with all those unattachable young males.

[GeronL]

Pretty amazing math there, everything is sold at a loss and they hold trillions of our debt.

[MuttTheHoople]

paid Chinese propaganda professional commenters

You see paid Obama propaganda professional commenters here on several web sites.

[arthurus]

Canon fodder? Interesting formulation.

[Vermont Lt]

Yes. But dumping treasuries drives up in interest rates on new issues. THAT is what takes the system down—here in the US.

[chajin]

If Chinese communism lasts as long as Soviet communism, it’s got another five years.

[Bulwyf]

Typed on my so called smart phone heh, apparently it may be from Nova Scotia, as nobody from there can spell. I include my wife in that heh.

Now if you’ll excuse me, I have an escape from my house to mount.

[Kozak]

Best case scenario, China and Russia go to war over Siberia.
I’ll get the popcorn ready.

[Vince Ferrer]

There are a couple of things I don’t agree with, but on the whole I agree with it. We rightly complain about our debt, but their debt is much larger. This article also doesn’t go into their water and energy issues, which are substantial.

[The_Media_never_lie]

Just, wow!

[Bulwyf]

I think Tom Clancy wrote a novel about that.

[SeaHawkFan]

If the Chinese dumped the treasuries at a significant loss, it would be a sign that they needed cash. Any other conclusion would be speculation.

[SeaHawkFan]

The Chinese are using the treasury debt they own as leverage to subsidize its exports. Just a matter of shifting the money.

Ever hear of Enron or Madoff. Just shuffling paper to make it all look legit. Can’t do it forever.

[hemogoblin]

Awesome post — underlines just how much our current leadership loves, mimics and idolizes Red China.

[PA Engineer]

I found this analysis very interesting. Perhaps China experts here on FR can comment on it.

Everything stated is probably true, however that is not the underlying reason for the Chinese collapse. It is the one child demographics. The population of China is inverting. One child. Two parents. Four grandparents. Six elderly dependents. One marriage equals twelve elderly dependents. There is no social security or medicare in China. The dragon in the living room is actually an elephant.