I think the best way to beat China is by investing in other countries that compete with China.
china prevents us from getting their upside, so we should destroy their upside by helping their competitors and having their competitor share their upside to us by allowing us to invest.
China truly has experienced tremendous growth and should be taken seriously and dealt with.
We are still far richer than them, our net wealth is 100 trillion vs China 30 trillion. And we still make more than them as shown by gdp, but their gdp is rising so fast that they will very likely eclipse us. And if we they beat us on gdp then they will eventually beat us in terms of net worth. So we need to prevent that by Investing wisely on their competitors!
Always this bizarre root belief in global hegemony, moral superiority, and “beating” everyone.
The game is lost. America will never be able to hold global dominance. Their net worth is a bubble-ponzi-lie, and when that bubble pops, it all ends. It’s long past time to retreat from that resource-draining effort, invest internally, create a niche, and get ready for a multiple-global-powers world.
China is preparing accordingly; a parallel reserve currency, gold stockpiles, internal consumption and trade with Asia, areas of specialization.
china’s power is derived from its population. well guess what. india will exceed china in terms of population soon. india has had some growth, but not as great as china. india would be a useful ally to neuter china.
i believe in a system with a one world order. and imo, i believe the us is the most fit to get the job done.
Except when you live in say, the Middle East, where the US has the two worst possible allies it could possibly have in Israel and Saudi Arabia.
If anyone still had any doubts, I think the USA’s reneging on the Iranian nuclear deal is proof that the USA will chronically wreck that region as long as it fits its two allies.
So while I agree that for most of the world the USA has probably been the best solution (certainly for the West), no, it is not universal and the Middle-East is just an example of an utterly failed and cancerous American foreign policy.
Blame CFA/MBA. This stuff was taught like a religion (globalism, bla bla, open trade, bla bla). I challenge anyone to show me a single sentence in the CFA texts that describes the downside of globalism? I always found that to be a huge red flag.
[quote=“igor555”]
TBF is not only CFA/MBA. It’s everywhere. Neo-liberal economics has now become like a religion in the mainstream media & political parties.
You know where society stands when the LEFT all across the West is crying and moaning about Brexit or Trump’s protectionism.
Don’t get me wrong, I am not saying that neo-liberal economics is wrong, by simply that there are always many angles to a problem and that it becomes dangerous when any sort of system becomes like a religion.
Interesting, CN says 59% of the goods aren’t even made by Chinese companies, but foreign companies operating in China (including American companies). Will there ever be a serious analysis on this from the US to confirm/deny? Or will they their fake news just bury this comment, with all the rest? All this tariff talk could simply be—more taxes on Americans, less on corporations—spun using the voters own demands for more protectionism. Just like how Obama screwed his base with more corporate healthcare scams.
“The US will shoot itself in the foot if it pulls the tariff trigger.” -Gao Feng, Ministry of Commerce
I suspect China’s economy is very fragile. This trade war stuff may cause a larger impact than we anticipate if the bottom falls out of their centrally planned debt fueled growth. PA, you nervous yet?
Honestly I hadn’t even noticed the so called “meltdown” until the last few days when prices got attractive enough for me to look at it seriously. I bought 2014 when the market opened to foreigners, sold May 2015 when the bubble got crazy, bought everything back with leverage in the late-2015 crash, sold a bit on the bounce back down to my target allocation and have been sitting on that since. Now new money into this dip and will lever up on any crash. Also, A-shares have 5-9% large cap dividend plays, nobody else has that. Massively outperformed SPX.
It’s very simple, for the rest of the century, you put new money into CSI300 on every material dip. China is here to stay, their foundation is firm and ready for decades of building, valuations are low (safe). US nationalist media propaganda enhances the mispricings at times like this (stocks and options), it’s great!
“People are just getting a bit too carried away by it all,” Pearce said. “If you look at the history of any major stock-market – and China is a massive market – if you had blindly just bought the market after a 20 percent selloff, more often than not you’ve made money in 12 months time.”
