China has a very high probability to fall and fall hard , all communist state create their own doom , China does that via global warming and being a total abomination when it comes to humanity . Fossil fuels will be unviable for cheap shipping in the next 5-15 years , as that happens the export based economy begins to slow down China knows this so it's investing heavily into oil resources , financial and military power so they can assure the fuel they'll need . What they forgot to take into account is that the West is running low on cash to buy their crap and that their population is starting to eat into their future resources. China is also 15-10 years behind the West in technology and can never dream to catch up in terms of theoretical science this is why they hack like mad in the hope that they can even the odds , this is why they blackmail high-tech companies to give them tech . The demonic rulers of China feel the blade of time on their neck and try every tick in the book to grasp the power but that ultimate power will always elude them .
I agree with all your points but communism has been a exception for china in the last few years at least for the economy. One can only predict.
So says the captain of a sinking 'free capitalism' ship, hanging onto the mast just before it sinks, wagging his finger, yelling at the Chinese submarine that just sank him....you'll sink hard ONE day TOO!!!...you... you... baddy you...!
Lol ! That is a nice one. There was a time when Egypt was at its finest, then Rome and so was modern day Japan's bubble in the 70's and 80's. It's China's turn now.
No mention of the sinking ship though eh...? Don't you complain when I only address half your points?
Who wants to pay some fat american 2000-3000$/month + taxes when they can hire an african/indian/aisan worker for 100$?...it will never happen...the US jobs are gone for good... when china collapses a lot of new jobs will be created in africa or some other cheap labor country... true change could happen when americans/europeans are willing to buy "NIKE-s" for 300$ that are home made with domestic work force and not the 100$ version made abroad...this will never happen... even if, by some miracle, the US were to elect a non wall street puppet, and even if, by some miracle, they were to pass laws on goods being produced ONLY in the USA, they would still end up with outrageously priced items=back to square one
Now calling Americans fat isn't nice. Jobs are being lost, no need to be so harsh. It is possible to put America back on track without having unaffordable goods and services. A range of policies would need to be implemented, dare I say it initially may have to be an interventionist one? Large subsidies and grants for small businesses and agriculture would be a good start, along with protectionism and nationalising the Fed. Reserve. Having the dollar backed up with something other than paper would make it a competitive currency once again.
By doing that, how do you make up for the shortfall? ie: the $1 US is probably worth $10 pretend dollars so going back to a gold standard (or other resource than paper) would be too big a step, at once (unless it was replaced with thin air). Thinking about it, I wonder if that's why they're driving up the gold price, which would work then I guess. Still that would make it about 1/9th of its pretend price atm, lots more to climb yet.
I'm not sure how to account for the massive deflation, Bushranger. I assume it would have to be something The People would have to bite hard, although maybe other areas and issues could be changed to help the pain, such as massive tax cuts. They haven't been driving up gold prices, though. In fact, they've been trying to suppress it. It's just that it cannot be realistically done. Gold is yet to reach its proper worth, even in this age of inflation. Popo we haven't been living in a cave for the past twenty years. Everyone knows about the overweight statistics, I even see it around me here in England. I don't think there's any need to use it as part of an argument though. Just sayin' I don't understand your Star Wars reference, I never followed the films. I prefer Star Trek over Star Wars
Arent those chinese sweat shops cheap labor ? If the USA suffers hyperinflation, they also will again be a source of cheap labor.
You're forgetting several things here : #1 The rising cost of transport (less oil and a higher price for disel) #2 The workforce is semi irrelevant since you can import workforce in the form of temporary workers and you can also get massive discounts by hiring special people into manual labor (students) #3 If you invest more heavily in robotics you only need to hire a few manual workers , also you'll enjoy the best possible middle management and upper management workforce next to you #4 You can always emphasize on patriotic marketing , something that has worked for ages , also business ethics are coming into play more and more . Why invest in a country that's building nukes against you ? India and China are shooting themselves in the foot with that 1 . #5 You're already paying 150 USD for Nikes if you know how to market you're way you can get them to 250 and people won't complain . Especially since the latest generation of shoes seems to last forever .
Here's a documentary I found on this subject in case anyone's bored. [video=youtube;kCvCCGC-M_c]http://www.youtube.com/watch?v=kCvCCGC-M_c[/video]