On Fri, 26 Nov 2004 08:46:35 +1300, "Adam Whyte-Settlar"
<grawillers@hotmail.com> wrote:

>
>"MacHamish" <russj41@concentric.net> wrote in message
>news:8g3cq0tpbp3sfi3iackt4pophbmhpa6ua7@4ax.com...
>> On Thu, 25 Nov 2004 16:36:04 GMT, Vernon North <verno@oyama.bc.ca> wrote:
>>
>.
>> >> Lets hope for American's sakes that the central Asian banks continue to
>> >> bankroll the US .
>
>> >Meanwhile US (and other) consumers are busily financing China's future
>> >as a superpower.  Not too smart.
>>
>> On the contrary, it's very smart.   We're showing them the way .
>
>LOL!
>I don't think the US is 'showing' them anything along those lines these
>days.

Well, of course.  You wouldn't.  Nice snip, by the way.

>What on earth could they possibly learn from you?!

From me personally?  Absolutely nothing.  From the Western way of doing
business?  A lot in areas such as finance, management, manufacturing,
service and support, marketing and advertising, distribution, etc.  Not to
forget the power of the free and sovereign individual pursuing his/her
rational self interest (as opposed to being a cog in the wheel of the
State).  Taking over Hong Kong must have been a real eye-opener for the old
Maoist members of the politburo.

>The Chinese government just two days ago publicly criticised the
>irresponsibility of the US economic policies whilst their own economy has
>been expanding at about 9% a year for a decade now.

Cheeky of them, wasn't it?   But how impressive is that 9% a year when
considered in light of the low base from which they started?  But it is a
start, and a good thing.  

Look, I think it's great that China has entered the world of international
commerce.  During Mao's time, they were totally isolated and resistant to
outside influences.  China was far more dangerous in that mode than it will
be as it engages with the rest of the world.  I'll repeat the bit that you
snipped.

<you snipped>
>We're showing them the way down the path
>toward freedom and prosperity and away from the economic system that has
>kept them in igorance, oppression, and poverty for so many years.
<end>
 
>This action is almost unprecedented (according to NZ radio) and reflects the
>International community's growing alarm at the mismanagement of the the US
>economy.

Yes, what upsets the "international community" is that it is becoming more
difficult to exploit the USA's open markets while practicing protectionism
at home.

>We're
>> also opening up an enormous new market for our own products and services.
>
>You wish. You obviously don't understand the Chinese.
>Not that I do either, but I know enough to realise that you have in fact
>opened up an enormous market for their products whilst they are not buying
>very much at all from you and are unlikely to do so in the near future.

Nonsense.  I can't be arsed to look up the numbers, but US companies (and
others) are doing a lot of business in China and will do even more in the
future as the Chinese population becomes more affluent.  It's certainly true
that China is selling more to the US than it is buying, but that imbalance
will change over time, especially with the USD at these lower levels.  This
is assuming that China's markets will be relatively open.  If their
politicians insist on having it one way, then their growth curve will
flatten out and they won't make much progress.

Here's a tip.  Invest in commodities.  China is going to need a lot of them.

>> The decline of the US dollar is a necessary precursor to making our
>products
>> more competitively priced in the global economy, including China.
>
>Double edged sword.

Certainly, but what's the alternative?  The imbalances in capital flows
created by the US' massive current account deficits, which are themselves
partly the result false inputs in the currency markets, have to be resolved.
The US can't carry the world economy on its shoulders forever.  The
adjustment won't be painless for anyone.

MacHamish M$(D??(Br