It was not only for ethical reasons. Tencent and Alibaba essentially formed a duopoly with different ecosystems, often refusing to integrate their products and buying off the smaller competitors. The Chinese tech sector was very weakly regulated prior to that point, and a few years ago it was practically wild west.
American Economics Thread
- Thread starter Bernard
- Start date
It was good because the Chinese tech sector was full of monopolies and the government is cracking down and reigning them in. In the long term this will benefit the Chinese economy. Money that would have gone into those non-productive fintech monopolies will be reallocated to other sectors of the economy like electric cars or the semiconductor sector which will have a more lasting long term impact on the quality of the economic fabric.
The US "tech sector" is bloated and overvauled and the crash in the NASDAQ is just one example. What we will see happen with the US economy will be a bit of a mess really. It will have aspects of the Great Depression and the 1970s oil crisis. If the EU does push the Russian oil sanctions as announced the US might have to stop exports of crude oil again. Right now the US economy is exposed to the global price of oil. It that happens and the US stops crude exports it will severely deepen the EU recession since it will deepen their dependency on the Middle East. And a lot of US companies like Amazon or Google which extract huge profits in the EU market will be severely impacted. Even in the online gaming market, a couple of companies I know, they get a large fraction of their profits from the EU market. With the rise in inflation and decrease in availability of energy EU consumption of discretionary services will implode as well. The implosion of the Netflix stock price because of cutting out the Russian market is just a sign of what might happen to these companies. Companies like Amazon which depend on online retail which requires a transportation fleet running on diesel, and sell computing services will be severely impacted. Companies like Google which depend on ads, in conditions of economic crisis, spending on ads will crash. Consumers will be more sensitive to price than marketing.
The oil majors will get a massive amount of cash. US oil majors had exited the Russian oil market in 2014 after annexation of Crimea and won't be as impacted as EU oil majors which are now selling their investments for pennies on the dollar. US and Middle Eastern oil majors will be flush with cash. In the 1970s, the US oil majors started making major investments into other sectors, and tried to push into sectors which had long running monopolies. Expect that to happen again.
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Usually the business is up if the economy is bad since a lot of people can't find respectable work.
Have fun with more inflation.
Mind you, these effects described in the article are only from US' own action. You can rest assured that Chinese non-visible/public countermeasures, specifically to increase inflation in America, are surely coming.
Mind you, these effects described in the article are only from US' own action. You can rest assured that Chinese non-visible/public countermeasures, specifically to increase inflation in America, are surely coming.
"Search the web"
There are also new competitions. Look at what the Japanese government has . Joe Biden has failed the American sex workers.
Don't f*ck Joe Biden anymore. Save the business for your local sex workers.
Avian flu decimating US chickens... Putin must be behind it somehow.
Issues beyond the control of the administration are compounding the problems it has caused. For example, a highly pathogenic avian flu has affected approximately 38 million chickens. The price of eggs increased 10.3% in April. The UDSA predicts an increase between 19.5% and 20.5% year over year in 2022. That could mean $1.00 an egg. Poultry prices will rise as much as 9.5%.
Get Ready for $1 Per Egg: USDA Forecast Predicts Highest Food Inflation Since 1980
Issues beyond the control of the administration are compounding the problems it has caused. For example, a highly pathogenic avian flu has affected approximately 38 million chickens. The price of eggs increased 10.3% in April. The UDSA predicts an increase between 19.5% and 20.5% year over year in 2022. That could mean $1.00 an egg. Poultry prices will rise as much as 9.5%.
China should label all goods from Xinjiang, go ahead US customs, lets see who cries first.
I still prefer what one forum member (apologize to him for being too lazy to search for his original post) suggested a few months back to have all rare earth metal companies moving at least one processing step to be done in Xinjiang, and switch the companies' address to one in Xinjiang.
Another forum member called the idea "genius". I have to agree.
May I also suggest that all foreign buyers be made to sign a document acknowledging the rare earth metal they purchase is Made in Xinjiang, China.
P.S. I equate this move to be similar to Russia demanding all "unfriendly" countries must pay for Russian oil and gas in Rubles. This move turned the tide back against the West's economic sanction.
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