Just seen an article[pessimistic] in the SMH;business.com section talking about state of chinese economy[overheated;overblown etc--and ripe for a crash].The title is to much to fast.Date of article Feb24th.Opinions??views??

The Chinese economy like all economies is only going to keep going as long as they are trading, internal demand only able to do so much.

Many ecomic pundits and particularly politicians wanting to crow on how they have a country doing so well because of stimulus packages are ignorant of how dominoes can fall.
Either that or they are just plainly attempting to deceive voters.

The cycle is raw materials > manufacturer > consumer > and with the cycle being blown by consumers overspending massively, the manufacturers will eventually have income drying up and use their capital as China is likely doing.
They in turn will have less capital for resources and so there'll be countries heavily reliant on resource exports last affected.

The US is a long long way of fixing their structure and meanwhile we have one side of politics saying spend, spend and keep spending and we'll help you by borrowing from somewhere, all in the hope that there'll be a massive economic boom that'll allow sufficient good times to pay back all the debt, kind of a financial suicide pact.

You only have to look at what the EU reckon the Greeks ought to be doing to understand that perhaps the whole planet needs a re-assessment of wealth structures.

In a way this all started with the birth of industrialisation and how people moved from the fields to factories as you had harvesters doing the work of many in the fields.
The demand for products that industrialisation brought, a couple of major wars and a few minor ones created great wealth opportunities, mainly for the developed world and the wealth then lead to more demand through luxuries and travel etc.

Industrialisation then got very sophisicated with mass production, machines, automation etc and that has gradually reduced work opportunities and so then the service industries have grown and a lot of industrialists being greedy for profits and where else better than the less developed nations with cheap labour and less regulatory bodies.

So meanwhile, former developed nations actually started producing less and living on credit, the results we are now see are beginning to emerge.

Where next?, more severe recession, depression, poverty, hunger, government services overwhelmed, anarchy, war! 2012!

Eventually China might invade Australia due to its abundance of resources and space.
It seems the only logical conclusion

Yes they take little heed of Kevin007 on the diplomatic front and are probably laughing themselves to sleep every night while the rest of the planet is focused on terrorists.
Iran might well end up in shambles and plenty of oil down that way for them.
Pakistan and India might well cripple oneanother.
And they'll probably not need to invade if they have enough of Kevins IOUs and came just claim they own the place.

How do they get here?

tunnel... all that mining is just a front.

Yeah, all that mining IS FOR THE TUNNEL!

No worries. If WA slumps (due to slack Chinese demand) I'll move to the UK and design nuclear power stations instead - the candy is going to be fantastic on those projects.

I love candy:

http://www.perthnow.com.au/money/pay...-1225833740969

Don't get me started on China!

As we all know, it's nigh impossible to buy *anything* that isn't wholly or mainly made in the place.

And the quality is so often cr*p. Trousers that need hips like pencils, shirts with arms too small to get through, power tools that have inaccurate adjustments, devices with tiny screws that strip - the list goes on. So you have to buy a replacement, which is made in ......

We in the West are being set up, aided by willing mugs like Dear Leader, who can't see a thing wrong with anyone who speaks Mandarin or Cantonese.

Just wait until China revalues by 100% and we *still* have to buy our knickers from them because the West's manufacturing is just a memory.

You ain't seen nuffink yet!

It is worrying - especially the ability to produce weapons. In WW2, UK, USA, USSR (and Germany for that matter) managed to quickly re-tool their industries to build guns, tanks, planes etc. Now that so much manufacturing capability is no longer there, this is no longer an option.

Let's hope China stays peaceful. ICBMs will keep them in check - as long as we don't get rid of them.

By bus

Have to agree.

The world's top 10 manufacturing nations are predominantly Western. China is on top, the USA is second and the UK is 7th (largely as a result of the fact that she is the world's fourth largest arms manufacturer and exporter).

Manufacturing is certainly not dead in the West.

I had a wonderful weekend in Inverness. The only drawback that my new underpant selection which I hastily bought from TKMaxx were made in China . I spend the weekend wearing pants that cut into my bum.
I blame the Chinese.