Has China overturned all theories of economic growth on their head by growing explosively within the framework of an illiberal totalitarian state? | LinkedIn Answers | LinkedIn
Has China overturned all theories of economic growth on their head by growing explosively within the framework of an illiberal totalitarian state? | LinkedIn Answers | LinkedIn
Has China overturned all theories of economic growth on their head by growing explosively within the framework of an illiberal totalitarian state?
China has been growing at 10 % for the past several decades...the domestic economy is not based on free markets anchored in individual freedom and liberty...most people are employed by state owned enterprises, there is little innovation targeted at domestic consumers as there is little competition for domestic market share...
China is basically one large feudal organization with slave labor catering to the free markets of the west....the revenues generated by the brutally efficient export machine is then ploughed back to build more factories of bigger scale, thus lowering costs even further...and the malignant machine keeps growing...
The hope that the recent recession in the west would lead to massive mis-allocation of capital by China followed by an internal collapse due to non performing assets of Chinese banks is probably just wishful thinking by analysts...
China continues to run surpluses and is unlikely to need to borrow and mis-allocate...in the worst case they would just sell some of their assets parked in the west and swiftly recapitalize their banks...their seems to be no stopping the dragon's juggernaut...
Is there a lesson in this....before the industrial age, the best performing economies in the world were the most brutal ones like India and China....70% of the economies were driven by demands of Royal Harems where illegitimate off-springs were produced on an industrial scale...
Will the world see a relapse to the familiar past...
China is basically one large feudal organization with slave labor catering to the free markets of the west....the revenues generated by the brutally efficient export machine is then ploughed back to build more factories of bigger scale, thus lowering costs even further...and the malignant machine keeps growing...
The hope that the recent recession in the west would lead to massive mis-allocation of capital by China followed by an internal collapse due to non performing assets of Chinese banks is probably just wishful thinking by analysts...
China continues to run surpluses and is unlikely to need to borrow and mis-allocate...in the worst case they would just sell some of their assets parked in the west and swiftly recapitalize their banks...their seems to be no stopping the dragon's juggernaut...
Is there a lesson in this....before the industrial age, the best performing economies in the world were the most brutal ones like India and China....70% of the economies were driven by demands of Royal Harems where illegitimate off-springs were produced on an industrial scale...
Will the world see a relapse to the familiar past...
posted by Unknown at 11:54 PM
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