Trade War with China


Status
Not open for further replies.

Anlsvrthng

Senior Member
Registered Member
There is a difference in both intent and effect between simply underestimating risk versus knowingly masking underestimated risk to be pawned off to others especially in a systemic way.
If your exceptionally good salary depends on to NOT to understand something then you won't understand that for all of your life.
In this kind of market environment ( negative real interest rate ) the market will create the bad actors.
What China limping? It's the US that suffered the 2008 economic bank meltdown not China. I don't know why you bring this up? China is doing fine no matter what the naysayers said.
The 97 crisis affected China as well.
And since that China use the same model like Japan/USA/UK/CCCP: negative real interest rates for deposits.

So, the Chinese (USA,UK,CCCP ) government bailed out the big companies from the household savings.

 

Equation

Lieutenant General
If your exceptionally good salary depends on to NOT to understand something then you won't understand that for all of your life.
In this kind of market environment ( negative real interest rate ) the market will create the bad actors.


The 97 crisis affected China as well.
And since that China use the same model like Japan/USA/UK/CCCP: negative real interest rates for deposits.

So, the Chinese (USA,UK,CCCP ) government bailed out the big companies from the household savings.

China recovered from the 1997 crisis and we're talking about the bigger crisis like the 2008 US bank debacle. Chinese banks had been in the top 10 in the world ever since!
China holds top four rankings in list of world's largest banks

The top four places in the list of the world's 1,000 largest banks have been taken by banks from China. The list, issued by British magazine "The Banker" on Monday, puts Industrial and Commercial Bank of China (ICBC), China Construction Bank, Bank of China, and Agricultural Bank of China in the top four places, respectively.

This is the first time that China's four largest banks have topped the global list of the world's largest. Four American banks, along with one from the United Kingdom and one from Japan, make up the remainder of the list of 10 largest banks.

China's banking industry had surpassed that of the Eurozone and the United States three years in a row when it comes to tier-1 capital, total assets, and total pre-tax profits, according to Yuan Xiaohui, a researcher from Bank of China's Institute of International Finance.
Please, Log in or Register to view URLs content!
 

Equation

Lieutenant General
If your exceptionally good salary depends on to NOT to understand something then you won't understand that for all of your life.
In this kind of market environment ( negative real interest rate ) the market will create the bad actors.


The 97 crisis affected China as well.
And since that China use the same model like Japan/USA/UK/CCCP: negative real interest rates for deposits.

So, the Chinese (USA,UK,CCCP ) government bailed out the big companies from the household savings.

China recovered from the 1997 crisis and we're talking about the bigger crisis like the 2008 US bank debacle. Chinese banks had been in the top 10 in the world ever since!
China holds top four rankings in list of world's largest banks

The top four places in the list of the world's 1,000 largest banks have been taken by banks from China. The list, issued by British magazine "The Banker" on Monday, puts Industrial and Commercial Bank of China (ICBC), China Construction Bank, Bank of China, and Agricultural Bank of China in the top four places, respectively.

This is the first time that China's four largest banks have topped the global list of the world's largest. Four American banks, along with one from the United Kingdom and one from Japan, make up the remainder of the list of 10 largest banks.

China's banking industry had surpassed that of the Eurozone and the United States three years in a row when it comes to tier-1 capital, total assets, and total pre-tax profits, according to Yuan Xiaohui, a researcher from Bank of China's Institute of International Finance.
Please, Log in or Register to view URLs content!
 

Anlsvrthng

Senior Member
Registered Member


China doesn't recovered from the 1997 crisis , just dumped everything under the rug.


The 10% transfer of GDP from household to corporate/wealthy happened to allow the "recovery" without any economical reform.

China hasn't recovered from the hit since.

Just for reference the USA consumption:
 
If your exceptionally good salary depends on to NOT to understand something then you won't understand that for all of your life.
In this kind of market environment ( negative real interest rate ) the market will create the bad actors.
That's just glossing over and giving a free pass to people choosing greedy and deceptive behavior. "The market environment" and negative real interest rates can't put a gun to people's heads and make them do unethical things.

Not to say that the financial system isn't a web of artificial constructs meant to manipulate and is done so to benefit particular people and not necessarily society at large.
 

Anlsvrthng

Senior Member
Registered Member
That's just glossing over and giving a free pass to people choosing greedy and deceptive behavior. "The market environment" and negative real interest rates can't put a gun to people's heads and make them do unethical things.

Not to say that the financial system isn't a web of artificial constructs meant to manipulate and is done so to benefit particular people and not necessarily society at large.
1-5% of the population is psychopaths, without any emotions, who willing to do whatever it needs to achieve that he / she wants, regardless of anything.

The lawbooks exist mainly due to them.

They usually gravitate to the highest level of positions in every county, like politician , doctors, policeman, high managers.

Means that if there is an opportunity, or bad oversight in any country then they will use it up.

And I am sure about that the Chinese banking system has a lot more mark-to-fantasy loans than anyone experienced during the 2000s in the USA.
Again, transparency, information, quality and quantity of data.
 

Equation

Lieutenant General


China doesn't recovered from the 1997 crisis , just dumped everything under the rug.


The 10% transfer of GDP from household to corporate/wealthy happened to allow the "recovery" without any economical reform.

China hasn't recovered from the hit since.

Just for reference the USA consumption:
China's experienced GDP and PPP growth that created the largest middle class income in history as well as uplifting 700 million people out of poverty is beyond any god or government out there in world history. I don't know what you trying to prove with those graphs.
 

Equation

Lieutenant General
1-5% of the population is psychopaths, without any emotions, who willing to do whatever it needs to achieve that he / she wants, regardless of anything.

The lawbooks exist mainly due to them.

They usually gravitate to the highest level of positions in every county, like politician , doctors, policeman, high managers.

Means that if there is an opportunity, or bad oversight in any country then they will use it up.

And I am sure about that the Chinese banking system has a lot more mark-to-fantasy loans than anyone experienced during the 2000s in the USA.
Again, transparency, information, quality and quantity of data.
So what does this has to do with China at ALL? If you said every country has their crazies with so and so percentage than how come China is doing way better than the rest? According to your logic China should be suffering like North Korea by now. You should have seen all the political and 1%ers crazies here in America right now.
 

Anlsvrthng

Senior Member
Registered Member
China's experienced GDP and PPP growth that created the largest middle class income in history as well as uplifting 700 million people out of poverty is beyond any god or government out there in world history. I don't know what you trying to prove with those graphs.
I pointed out few times: China used to be more prosperous than Europe for thousand year(s).
In the twenty century the Chinese was more wealthy than ever, but they was poor compared to the Europeans .
Anyway, the Chinese government choose the easy way, and created serious imbalances in the economy, as shown in the above graphs.

So what does this has to do with China at ALL? If you said every country has their crazies with so and so percentage than how come China is doing way better than the rest? According to your logic China should be suffering like North Korea by now. You should have seen all the political and 1%ers crazies here in America right now.
It goes back to the original pettis/shanghai composite discussions : quality data about companies creating transparency and light, and these guys can not survive in light for long time : )
 
now I read (Trump's book quoted inside LOL)
Commentary: China-U.S. trade talks take two to tango
Xinhua| 2018-08-23 12:58:58
Please, Log in or Register to view URLs content!

China has extended good faith in settling its trade dispute with the United States. As Vice Minister of Commerce and Deputy China International Trade Representative Wang Shouwen accepted the U.S. invitation and led a delegation here for resumed talks, the ball is in Washington's court to make this dialogue not another exercise in futility.

The two-day conversation merits applause and aspiration as the world's two largest economies came back to the table after over two months' escalation of confrontation. Its implication of a mutual desire to manage the current divergences and curb further spillovers into the global growth and financial stability is a matter of course.

Yet it always takes two to tango. Any fruit that might come from this round of exchange requires bonafide interactions and stand-in-your-shoes thinking on both sides. This is by no means a one-way street for China.

Although the U.S. delivery of invitation to China has shown its readiness for negotiating deals, the soul of "the art of the deal" lies more on ungrudging concession than on forced bargain. The maximum pressure approach featuring my-way-or-no-way logic and zero-sum mentality has proved infructuous to China, and risks a renewed no-win prospect.

Previous trade talks between the two countries have offered abundant lessons for both to circumvent misunderstanding and misjudgment while engaging in this hard-won opportunity for negotiations.

Among them is the requisite of a more sensible approach on the U.S. side that highlights mutual understanding rather than one-sided pressuring. Any mutually acceptable results of this round of talks must depend on two-way efforts, with two parties meeting each other halfway.

Also, as the saying goes, Rome was not built overnight. The different phases of development in China and the United States make the settlement of issues such as market access unattainable at one stroke; yet with vast areas of overlapping interests, the two sides should be more patient and seek common ground while putting aside differences.

The success of the discussions also requires a mutually recognized priority list of problems. However, Washington remains nubilous in this regard, given that the U.S. authorities such as the White House, the Treasury Department and the Office of the United States Trade Representative have been at cross purposes regarding their priorities with China.

As U.S. President Donald Trump said in his book on making deals, "the point is that you can't be too greedy." The two sides would hence be advisable to define their top concerns in this round of talks and outline a roadmap, in a bid to find a way out of the current impasse and towards the final settlement of the issues.

Moreover, since the significance of trustworthiness is second to none in negotiations, the U.S. side should be ready to re-engage in its commitments than renege on them, if it really means it. Any fruits of the bilateral dialogue will once against come to naught if Washington goes back on its word as it did before. Credibility for a state plays the role of character for a human being, and it's in a country's interests to keep faith with others.

While mulling its trade strategy on China, Washington cannot overlook the cries of U.S. industries affected or to be affected by its current confrontation with China. Warns of U.S. tactics' backfire effects, such as the disruption of global supply chain, the disability of U.S. private sector, job losses, and damage to the interests of consumers, have dominated the ongoing six-day public hearings process, which solicits business and industrial comments on the proposed tariffs on Chinese imports worth 200 billion U.S. dollars.

In fact, unilateral tariff tactic has never made its way in the U.S. history. Spillovers of a trade faceoff with the world's second largest economy will from each and every aspect be more biting than Washington could ever imagine.

Washington's huff-and-puff bluster and now-or-never ultimatum will only cut short the odd of a productive dialogue. The United States should rationally review the China-U.S. trade relations, look for a win-win solution to the dispute through equal negotiation with China, and jointly safeguard the open and rules-based multilateral trade system.
 
Status
Not open for further replies.

Top