When times are good, people think they're being clever.
When times are bad, they wondered why.
If they had known, they would not have gone that far.
But it's their cleverness that had brought them to where they are.
It is very sad to realise how people have brought trouble to themselves
We only wish they hadn't. But who are we to tell them so.
The writings on the wall.
1. They had decided on a global liberal economy where labour and capital can move freely.
2. Europe with its fear of stagnation opened up to the free movement of labour.
All that they got is the free movement of Islamic extremists.
3. Capital is free to flow. The US Fed print money and the money went to China to make use of the cheap labour, They lost the capital and the intellectual property.
4. China, feeling rich and capable, use their surplus reserves to buy minerals in Africa.
5. It is inevitable that China will rise and the US will fall. China has newer infrastructure and the US infrastructure is decades old.
6. While the global transition is going to be a gradual process from the US to China, the usual impatience of Marxists to allow historical transition to take its course is ignored and a forced transition is tried. China says it should be the dominant economies and the US economy is in descend.
7. The US while in descent is not without economic and political power and China in ascent is with no economic nor political power. Impatience kills.
8. The US in decline will not decline without a fight. The US still has enough power to kill China.
9. The US dollar is still the reserve currency. Whoever think they can device a good alternative is utterly lack of education on the history of money.
10 While China may strive to live without the US and may possibly succeed, this does not mean that the US is without dominance in the world economy.
11. With the tariff war, the world economy is doomed to recession and high unemployment.
12. China currently suffers from delusion of grandeur, while the US is struggling to stay above water.
13. China for the moment cannot live without the US.
14. The US economy will dominate for the next 5-10 years.
15. The China economy is still in the infant. It has not treated its workers well.
16. It is easy to print money - in the US and China. After printing money, how do you retrieve money from the system?
17. The only way money dies is for banks to go bankrupt.
18. When banks do not lend, the economy goes into recession.
19. Economic growth is borne out of confidence.
20 When there is no confidence in politics and economics, recession looms.
