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OC

I believe the arrest warrants is called Mandate of Heavens (by the Chinese). Hyperinflation is also a Chinese discovery during the Yuan dynasty - they had a similar system to Central Bank...all gold and silver belongs to central authority and ordinary folks uses the paper currency..

And a belated Happy birthday to u!!

Neuro Artist

Elaine, the Riksbanken prize of economics in honour of Alfred Nobel, has been awarded since 1969 to mostly Americans. I bet they have had a big hand in shaping the economic system that we will have to suffer the consequences of. Probably the world would have been better off if this fake prize never had seen the day. Understanding economy is really a lot of common sense, and you won't get the prize for that. No, it should be extremely complex magical formulas and vague theories suitable for the ivory towers. Maybe you get the prize when the ivory towers fall, and you might be able to buy a loaf of bread with the money. :)

Carlos

Elaine, the difference between the Western elite and the Eastern elite factions (China, Russia, India, notice no Japan) can be clearly seen in this latest piece of yours. The Western elite operate on entitlement without ownership. They are there to take without giving anything back, as they believe it is their God-given right.

The Eastern faction is of another mindset, they accept and believe the concept of productivity and growth being part and parcel of the symbiotic relationship between the masses and the elite. They know that strangling the goose that lays the golden egg is counter-productive, unless you are stupid or shortsighted. I suspect the Western faction is both.

In China, if you decide to invest in a factory, the Chinese government will sell you the property for the factory site (they being the only landowners). If you pay them in full with foreign exchange, the the Chinese banks will offer you a loan using the property as collateral (using a valuation based on a 5 year forward appreciated value), at 80% of property value, with an interest rate of 2% per annum! Yes, 2%! Of course, they also put in an auditor to monitor your operation (to keep you honest), no Wall Street hell hound free money shenanigans at the expense of the unwashed masses here.

They will also loan you money against your forward purchase orders at 2% interest per annum. What a deal! This way they create jobs, productivity, collect taxes, and spur economic growth. Their government is behaving as all governments should for the people of the country; not for the elite only. Oh, and the Eastern elite ARE nationalistic. They are not mercenary like their Western counterparts. It is capitalism at its best.

I am not saying their system is perfect or corruption free, but it openly and clearly makes an effort visible to all with eyes,
to serve the people they govern.

Btw, I still believe Japan is playing pretend with the US; they will be completely assimilated into the Eastern mix, soon. By design, not the lack of it. When one plays for keeps, one has to play the role they're given to the hilt.

Elaine Meinel Supkis

Thanks, Carlos.

Japan gives its JAPANESE home investors 2% or less interest loans, too. This is how they subsidize industrialization. The Americans and Brits pile on debts at the highest rate of interest possible but then they see this is failing so they want the Fed to misstate inflation so they can get money cheap, here.


The free trade game is being played by different rules by all the major parties. And it amuses me that the West is screaming for clarity and openess even as they refuse to practice what they preach.

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