Look at how upset China got at deficits here and refusing to raise the Yuan. Recently when work visas in INdia were cancelled they went crazy(no jobs in China). I expect most of the world to collapse under this economic fiasco. Not to speak of shady Chinese accounting. US & China are both going down. EU zone will be better off relatively + Oceania, India too as all US jobs are being shipped there.

 

 

 except this moron had also said said this a year ago when things were really bleak, and nothing happened. China now is the one carrying the burden of making many american comnpanies and Japanese companies, including the automakers, to profitability.

 

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Electricity use dropped by 4% while economy expanded by 8%? That doesn't make ANY sense at all.

 

The Chinese economy, in essence, already collapsed, at least 3 times. That's how many times commies have injected cash to state-owned banks in the past 10 years. The same thing is called "bail out" in the US. Had their export expansion stopped cold by GWB, there would have been a revolution in China. Over the past 5 years, the real living cost in China rose at least 20%, while real wage stagnated, if not dropped. The growth of China is a phony one, fueled by real estate "re-re-re-development" and export expansion.

 

However, Hong Kong economy is acting as the buffer for commies. Once current HK bubble collapses, you'll see funny things.

The last poster was trying to type han zi?   The stat that Chanos pointed out that I find hilarious is China's bragging about massive increases in car sales yet flat gasoline consumption.  Allegedly SOEs are buying cars and mothballing them in parking garages.

 

As for China's urbanization, it a flight from crap farming conditions and no economic opportunity to complete uncertainty. All of those migrants will not have any rights since they won't have a local hukou and property prices are still way out of the reach of everyone save the top 5 % of income earners.

 

China is on its way to looking like the landscape in Judge Dread or Logan's Run.

In the end, it's super rich in China, commie bureaucrats and some smartass urban residents who are blowing the bubble. Typical Chinese workers in Shanghai will never EVER be able to afford a small condo if current linear projection continues. However, nothing goes linear under limited world resources and market.

Urbanization happens due to transformation of economy, which is not a driving force to economy itself. People move to cities in search for better job and fortune, and they will leave cities once the condition of prosper disappears. Many cities in the US have suffered de-urbanization in the past few years simply because of the collapse of those cities' industry. The circumstances echoes the worker-shortage in Guangdong area since 2007. It's not China is in shortage of workers. It's workers can't make a living in Guangzhou area anymore.

 

I have a problem picturing Judge Dredd or Logan's Run without the cool jumpsuits.

With so many rural people heading for the cities...who's going to feed the cities?  Famine has always been a problem for China; I'm wondering if they're risking another.

 

I'm no economist or demographer, but it looks to me that you've got a double whammy: a lack of farmers at the same time of a rise in urban population.  China's food distribution network is not as modern as the US' is.