Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
In coronavirus fight, China’s vulnerable fall through the cracks
The outbreak has affected just about all of China’s 1.4 billion people. Even the rich and the powerful have to follow quarantine rules, which often means staying home.
But it is the most vulnerable — the poor, the disabled, the very old and the very young — who have been hit hardest. The coronavirus is exposing the breadth of China’s wealth gap and the holes in its social safety net. https://www.todayonline.com/world/co...through-cracks
Almost every government gives stimulus money to their people who suffer under the pandemic.
The only exception is China. It hands out nothing.
No it's not. My country being among the poorest in the ex-soviet europe/eu isn't giving anything. It's only the so called rich countries like US, UK who have decided that printing trillions of $ will never lead to inflation because an unicorn had told them so. At least poor countries aren't suicidal.
No it's not. My country being among the poorest in the ex-soviet europe/eu isn't giving anything. It's only the so called rich countries like US, UK who have decided that printing trillions of $ will never lead to inflation because an unicorn had told them so. At least poor countries aren't suicidal.
It's not so much due to any virtue or superior economic planning (they are poor countries), so much as it's because they lack the ability to do so.
They also don't tend to have a lot of Porsches driving around. It's not that people aren't fans of nice cars, they just can't afford them.
You're missing the point, America thinks the dollar will be strong forever and inflation is a myth...even if we pretend bitcoin is nothing then history should tell you something about the French frank, Spanish peseta, Italian lira - where are they now? One day the same will be asked about the dollar and not about the Chinese yuan.
You're missing the point, America thinks the dollar will be strong forever and inflation is a myth...even if we pretend bitcoin is nothing then history should tell you something about the French frank, Spanish peseta, Italian lira - where are they now? One day the same will be asked about the dollar and not about the Chinese yuan.
You always find a way to bring it back to the US...
You said that poor countries don't "print money" (in the form of sweeping stimulus responses) because they "aren't suicidal." My assertion is that the main reason they don't isn't because they don't want to do so, it's because they can't. They have few assets or industries to leverage it against, because they are poor nations. It's not so much due to virtue as it is ability.
In the case of China, one of the main reasons they have yet to launch a major stimulus is because the Chinese economy already has a 300% total GDP to debt ratio (household, corporate, and gov't); Chinese corporate debt was at about 160%, which is one of the highest in the world and double the US', before COVID struck. The Chinese economic boom during the Great Recession was in large part due to a 4 trillion RMB stimulus plan to support infrastructure, industrial, and commercial projects. So, the idea that China has resolutely stood against building debt in defiance over the West is not accurate, it's actually been on a debt-building spree for over a decade. The debt is leveraged against China's real assets and also speculation as to its future performance, much as is the case with Western nations.
This isn't to say that I'm one of the people who thinks this will lead to its imminent demise and the dollar and yuan will both be here for a long time to come. Modern economies tend to operate with debt as a matter of course, and so long as that debt doesn't outpace the nation's ability to produce, right or wrong, it's theoretically sustainable. It also should be said that China has not said that it will not release further stimulus, and there are growing calls for a larger package as well as plenty of speculation as to what that will be.
In short then China is like every other country in the world. The poor and powerless get screwed while the wealthy elites have all the advantages. Welcome to global economics 101.
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.
Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
