China Stocks Drop
What do you think or analysis on the economy of China today and the recent drop in market share of 3%?
Just want to know, I want a good overview. Preferably an economist or someone associated with the economy. P Just curious.
China has many problems and the apparent economic global hegemony is not a fact. Your bank is a disaster. Prolly your number one problem. Virtually all banks in China belongs to the state and if insolvency (yikes!). They are struggling with debts Suspicious (ALA Japan 1980) and corruption. By corruption I mean outright theft by the offices, "loans" to the family and friends without regard to risk and again and again and again. These SOPs and bad debts are not pays its forces into insolvency. State-owned enterprises. Business. These companies (Like Lenovo) raise revenue for their owners (the political elite and well connected) employ the masses and to pay for public works. Unless you do not work. I challenge anyone to find one that makes a profit. Lenovo? Ha, can not even win his own domestic market … however, after purchasing IBM. Haier? Never heard of them? Nor did most Chinese DOH …! They simply lose money. Thus, state enterprise goes to the bank and get a loan. What you can not pay … that is where all those who come from bad loans. Powerful state companies (supported by the Govt) just crush the legitimate private companies (which is obviously capitalist … oh you get the idea now.) The way to solve this problem is with the law. Unless these laws that could alleviate the problem that the bank also reduced the communist power. And what the possibilities of vote decisions to reduce their power elite and therefore wealth. If … zero. And this is just one facet of the Bank evils. I do not mean AMC or attempted sad consumer loans (an effort that any economist comedian I could have told you have a boomerang effect … he has done in the way). Lets not to embark on the lack of property rights and the law. As above, is a law establishing a refutation of communism reduces the central authority. There is no power to vote yes. And so on. China is not guaranteed by a global brand. In fact, our textile company operates plants there and plan to relocate to Indonesia. Why? labor wages are increasing (supply and demand) and workers demand more benefits (improved housing, better food, shorter trips …). The way to fix that is with … laws. Oh, you get the idea.
US Stocks Tumble; Financial Turmoil; Lehman’s Asia Creditors; Writedowns & Credit Losses; Bank Of Japan Added $14.4 Billion To Financial System; China Cuts Interest Rates; US Fed Added $70 Billion In Reserves; Japanese Banks Drop