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To: bruinbirdman

The article overlooks a fundamental difference between China and other countries, that being the savings rates of its citizens. Traditionally the Chinese save 50 percent of their income or more.

Chinese are also far more used to doing without. Pent up consumerism certainly was unleashed in the last 15 years so they have gotten more comfortable but the Chinese are still far more adept at doing without and making do.

This article mentions Chinese rail construction has slowed. But that construction has put in a national system of bullet trains in just 10 years. It is as if the writer thinks that pace should go on forever.

Certainly China’s bankers have been pressured to make loans they would not otherwise prudently make. Perhaps that is going to cause a crash.

If that is the point then fine. But I can’t help think that if China is bad off for that, then what does it say about the U.S. The U.S. financial position seems far, far worse.


5 posted on 05/14/2012 1:11:30 AM PDT by gunsequalfreedom (Conservative is not a label of convenience. It is a guide to your actions.)
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To: gunsequalfreedom

And those savings were used to back the construction of those “ghost apartments” pictured above


32 posted on 05/14/2012 5:27:57 AM PDT by tom paine 2
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