China accounts for about half of global economic growth, Stephen Roach says
NEW HAVEN, Conn. (Project Syndicate) — Is the Chinese economy about to implode? With its debt overhangs and property bubbles, its zombie state-owned enterprises and struggling banks, China is increasingly portrayed as the next disaster in a crisis-prone world.
I remain convinced that such fears are overblown, and that China has the strategy, wherewithal, and commitment to achieve a dramatic structural transformation into a services-based consumer society while successfully dodging daunting cyclical headwinds. But I certainly recognize that this is now a minority opinion. Continue reading
A grave mistake is to think that this can’t happen or won’t happen, or that the Russians don’t have the capability. China and Russia have both publicly expressed their unity against the USA and the EU after engineering the chaos running through the Ukraine at this moment. Previously they’ve always been united behind scenes, but as they both grow and advance militarily, economically and politically they can be out in the open about it — especially now that they have been given cause.
China has also previously threatened the ‘nuclear option’ on the US Dollar. For additional information, read the following article: China threatens ‘nuclear option’ of dollar sales
The USA, which is drunk off its own power, becoming more corrupt daily and rotting from within might have to face a grave and sobering reality — and sooner rather than later. America is not untouchable.
Europe also faces the same fate as the Heizung can be turned off at any given moment. You’ll also likely see a united Europe like never before as a result, unlike America where its current administration keeps drawing a new line in the sand each time it back-peddles.
Moscow (AFP) – Russia could reduce to zero its economic dependency on the United States if Washington agreed sanctions against Moscow over Ukraine, a Kremlin aide said on Tuesday, warning that the American financial system faced a “crash” if this happened.
“We would find a way not just to reduce our dependency on the United States to zero but to emerge from those sanctions with great benefits for ourselves,” said Kremlin economic aide Sergei Glazyev.
He told the RIA Novosti news agency Russia could stop using dollars for international transactions and create its own payment system using its “wonderful trade and economic relations with our partners in the East and South.”
Russian firms and banks would also not return loans from American financial institutions, he said.
“An attempt to announce sanctions would end in a crash for the financial system of the United States, which would cause the end of the domination of the United States in the global financial system,” he added. Continue reading