Replies

It concerns me too, I don’t trust the goals and global ambitions of communist governments.

The Chinese government doesn't do itself any favors by continually calling itself a communist government. However, if you look at everything they've done so far, it is very capitalistic.

Karl Marx wrote the bible of communism. In the end, is nothing more than useless idiology. Yet, the Chinese government have used tried and true economic policies of the Western World to build up their economy. Even when balancing between government owned and/or natured industries to letting it go fully private is based on historically observation on what happened in the West.

China's resistance to allow a sudden increase in the yuan has more to do with their observation of what happened to Japan when they allowed a rapid increase in her yen.

In the end, China is adjusting her economic policies, based on history, that best suits her specific needs. In this case, transitioning an entirely agricultural economy (1978) to one that is semi-industrialize today and ultimately to one that will hopefully be fully industrialized by 2040.

China doesn't concern me, because when you look at every country that has practiced all out agression, e.g., Axis during WWII, they went through a period of over a decade or two where a highly disproportionate amount of their resources went towards military. China has not demonstrated that. Despite their growing military expenditures, even when the Pentagon estimates is several times higher than Beijings stated amount, it is only 4% of her GDP. Which is not unreasonable for any nation during peace time (Beijing's stated amount of $70 billion would be about 1 1/2% and with the Pentagon saying it is three times higher, makes it 4 1/2%, which is still not unreasonable).

The Chinese government doesn't do itself any favors by continually calling itself a communist government. However, if you look at everything they've done so far, it is very capitalistic. Karl Marx wrote the bible of communism. In the end, is nothing more than useless idiology. Yet, the Chinese government have used tried and true economic policies of the Western World to build up their economy. Even when balancing between government owned and/or natured industries to letting it go fully private is based on historically observation on what happened in the West.

"What do you think the Russians talk about in their councils of state -- Karl Marx? They get out their linear programming charts, statistical decision theories, minimax solutions, and compute the price-cost probabilities of their transactions and investments, just like we do." - Arthur Jensen (Network - 1976)