China

[Ibrahim]

There are two issues here. 1. China has peaked as a manufacturer for export markets, and they have to shift to internal markets that have opened up there and are set to expand. That will start to reduce foreign investment by certain manufacturers. 2. Chinese millionaires, both entrepreneurs and those who have enriched themselves through corruption, are moving their money out of the country. The CCP is very concerned about corruption and does work on the issue, but it will always be a problem under a centralized one-party bureaucracy. The shift from exporter to consumer economy a taller order, since they will need to do in a decades or two what took Western Europe and North America the better part of the 20th century.

I think they can tough it out internally, but I wonder what the markets will think of a China that suddenly isn't growing %8-10 on a regular basis.

[Typhoon]

NYT | Before China’s Transition, a Wave of [Xenophobic] Nationalism

Law of Unintended Consequences at work again.

[ding73ding]

To put my cards on the table, I disagree with almost all of you on almost everything. That is my piece.

Welcome aboard.... Once you declare yourself as smarter than everyone else..... no more elaboration is needed

Being "smart" seems to concern you? But then you are not too smart, or you are dyslexic? You do understand in English there's a reason there are separate words for "disagree with" and "smarter than". If you find a dictionary that says otherwise, please smarten me. Or if you declare dictionaries are irrelevant, that's fine too. I disagree with you on that and no more elaboration is needed.

This place is pleasant enough, I used a colder than usual self-intro and failed to elicit more hostility than Simple Minded, that's a good sign

As for those of you want to call me tinker-lite or Judo or whatever you want, thank you for being so personal and all, I shall try to be as impersonal as possible, first and foremost I shall achieve that by ignoring your posts. You should probably do the same to my posts, anyway I won't post much, you aren't missing anything.

[ding73ding]

The Chen affair is a deep embarrassment to CCP and did a lot of damage to CCP legitimacy and international standing. By and large I approve of the grand policy direction of CCP since the 90s, but the Chen affair tells me things are going wrong.

Firstly, let's see the Chen affair for what it is, trouble in a teacup. The corruption and injustice he was fighting for count as minor in most countries in the world. He was merely asking for things to be set right according to CCP laws and policies. He was not challenging the system or the regime at all. Such cases arise daily in China, and most of them are blissfully ignored by the foreign press since most of them are settled eventually by a mixture of repression and justice. Here "Harmony" is a sword that swings both ways. Sometimes "harmony" means disharmony is forcefully silenced, but just as likely raise a protest will result in some kind of justice and compensation. Often such "mass incidents" expose corrupt officials and companies and put bad people in jail or at least out of business. The media (invariably described as "state-controlled") actually is a leading force on the side of people and justice. While having to stay within the nebulous bounds of "harmony", the media does go about exposing corrupt or inept practice (from dangerous pot holes to medical malpractice to wasteful programs). Every year many cases of injustice far more grave and serious than Chen's was resolved, somehow. Just this year, a village in Guangdong province even went as far as holding a "free and fair" election in Wukan which saw the leader of the peasant insurrection, was chosen as the new head of the village.

Chen's case could have gone either way, normally. Upon hearing a case like Chen's, Beijing have been known to doing either the right or wrong thing. Which was the outcome depends on a bit of luck. As the Bo affair shows, being powerful alone is not enough protection to guarantee immunity from corrupt and criminal activities. However it shakes out, Chen's case should be put in context as one of many cases of local corruption and injustices. It is not a case that should make diplomatic wave and damage CCP's legitimacy.

But it came out that way, which I will argue is mostly CCP's own damn fault. Once the US Embassy got involved, Beijing should have been careful about managing the public message and perception. Initially it did well, negotiating an face-saving resolution for everyone. But then it fell apart, the local authority saw the writing on the wall, if the resolution worked out, they will be put in an awkward position, most likely losing their jobs and power, jail time perhaps, even execution are possibly waiting for them. They took a gamble, and use thuggery on Chen and his relatives, trying to force the issue into a nationalism vs colonialism framework and to my despair, it worked. From the deal that was negotiated, it was clear that CCP was ready to resolve the Chen case by doing the RIGHT thing. But by taking just a couple days too long to implement it (arresting and firing the guilty officials) the locality took the upper hand in controlling the public agenda. Now it's not just a local corruption case, it's a foreign power interfering in China's internal matters. This forced CCP to take the hard line, since otherwise every little case of minor corruption and mass incident could potentially become a gateway for CIA interference. It's in CCP's interest to punish corrupt officials, but it's far far more damaging if Chinese public view American Embassies as a channel to effect change.

It's a great tragedy that those corrupt officials in Shandong are getting away with (not quite) murder. It sends the wrong message to local authorities all over China. Without qualification, I will say this is a big step backward in China's social progress.

Having said that, I completely and totally agree that the US government (esp. CIA and State Dept) and their proxies must be kept out of the loop regarding human right and social justice in China AT ANY COST. As a matter of principles, it's up to the Chinese people to earn their own justice and freedom, in practice, anything that CIA touches turn into a steaming pile. We are all dissatisfied with the outcome and capabilities of CCP, but that's nothing compared to the disasters that will befall our people if CIA manage to put a finger in our affairs. If it's necessary to beat up some innocent blind man and his relatives and then have him give endless embarrassing interviews on CNN, but to nip foreign interference in the bud, so be it.

I only hope that CCP can take a lesson out of this. Frankly I am not too optimistic.

[Typhoon]

The Chen affair is a deep embarrassment to CCP and did a lot of damage to CCP legitimacy and international standing. By and large I approve of the grand policy direction of CCP since the 90s, but the Chen affair tells me things are going wrong.

Firstly, let's see the Chen affair for what it is, trouble in a teacup. The corruption and injustice he was fighting for count as minor in most countries in the world. He was merely asking for things to be set right according to CCP laws and policies. He was not challenging the system or the regime at all. Such cases arise daily in China, and most of them are blissfully ignored by the foreign press since most of them are settled eventually by a mixture of repression and justice. Here "Harmony" is a sword that swings both ways. Sometimes "harmony" means disharmony is forcefully silenced, but just as likely raise a protest will result in some kind of justice and compensation. Often such "mass incidents" expose corrupt officials and companies and put bad people in jail or at least out of business. The media (invariably described as "state-controlled") actually is a leading force on the side of people and justice. While having to stay within the nebulous bounds of "harmony", the media does go about exposing corrupt or inept practice (from dangerous pot holes to medical malpractice to wasteful programs). Every year many cases of injustice far more grave and serious than Chen's was resolved, somehow. Just this year, a village in Guangdong province even went as far as holding a "free and fair" election in Wukan which saw the leader of the peasant insurrection, was chosen as the new head of the village.

I can't count the number of Chinese movies I've seen wherein the central theme was the citizens fighting the local corrupt officials while trying to bring the attention of the central government [formerly the Emperor, now the CCP] to their case.

This tension between the centre and the provinces seems to define much of Chinese history.

Chen's case could have gone either way, normally. Upon hearing a case like Chen's, Beijing have been known to doing either the right or wrong thing. Which was the outcome depends on a bit of luck. As the Bo affair shows, being powerful alone is not enough protection to guarantee immunity from corrupt and criminal activities. However it shakes out, Chen's case should be put in context as one of many cases of local corruption and injustices. It is not a case that should make diplomatic wave and damage CCP's legitimacy.

I think you have a point here.

But it came out that way, which I will argue is mostly CCP's own damn fault. Once the US Embassy got involved, Beijing should have been careful about managing the public message and perception. Initially it did well, negotiating an face-saving resolution for everyone. But then it fell apart, the local authority saw the writing on the wall, if the resolution worked out, they will be put in an awkward position, most likely losing their jobs and power, jail time perhaps, even execution are possibly waiting for them. They took a gamble, and use thuggery on Chen and his relatives, trying to force the issue into a nationalism vs colonialism framework and to my despair, it worked.

One reaps what one sows . . .

From the deal that was negotiated, it was clear that CCP was ready to resolve the Chen case by doing the RIGHT thing. But by taking just a couple days too long to implement it (arresting and firing the guilty officials) the locality took the upper hand in controlling the public agenda. Now it's not just a local corruption case, it's a foreign power interfering in China's internal matters. This forced CCP to take the hard line, since otherwise every little case of minor corruption and mass incident could potentially become a gateway for CIA interference. It's in CCP's interest to punish corrupt officials, but it's far far more damaging if Chinese public view American Embassies as a channel to effect change.

Have to agree. The CCP can't be seen as kowtowing to the Americans if they wish to remain in control and power.

It's a great tragedy that those corrupt officials in Shandong are getting away with (not quite) murder. It sends the wrong message to local authorities all over China. Without qualification, I will say this is a big step backward in China's social progress.

The timing could not be worse as the economy slows down.

Having said that, I completely and totally agree that the US government (esp. CIA and State Dept) and their proxies must be kept out of the loop regarding human right and social justice in China AT ANY COST. As a matter of principles, it's up to the Chinese people to earn their own justice and freedom, in practice, anything that CIA touches turn into a steaming pile. We are all dissatisfied with the outcome and capabilities of CCP, but that's nothing compared to the disasters that will befall our people if CIA manage to put a finger in our affairs. If it's necessary to beat up some innocent blind man and his relatives and then have him give endless embarrassing interviews on CNN, but to nip foreign interference in the bud, so be it.

No comment.

I only hope that CCP can take a lesson out of this. Frankly I am not too optimistic.

Oligarchies have a history of risking their destruction rather than reform.

[Simple Minded]

To put my cards on the table, I disagree with almost all of you on almost everything. That is my piece.

Welcome aboard.... Once you declare yourself as smarter than everyone else..... no more elaboration is needed

Being "smart" seems to concern you? But then you are not too smart, or you are dyslexic? You do understand in English there's a reason there are separate words for "disagree with" and "smarter than". If you find a dictionary that says otherwise, please smarten me. Or if you declare dictionaries are irrelevant, that's fine too. I disagree with you on that and no more elaboration is needed.

This place is pleasant enough, I used a colder than usual self-intro and failed to elicit more hostility than Simple Minded, that's a good sign

As for those of you want to call me tinker-lite or Judo or whatever you want, thank you for being so personal and all, I shall try to be as impersonal as possible, first and foremost I shall achieve that by ignoring your posts. You should probably do the same to my posts, anyway I won't post much, you aren't missing anything.

ding73ding,

Allow me to apolgize for a clumsy attempt at a humorous welcome. I was raised poorly on another planet..... There was no hostility received nor intended.

Humor varies with demographics, cultures, eras, locality, etc.... The one constant of human nature is that "offense" is always in the receiver, not the transmitter.

I welcome your differences of opinion. I often consider myself a dinosaur, in terms of opinion, and I am becoming more so each day.

Where everyone thinks alike, no one thinks very much.

So far, from your posts I have read, I find your opinions insightful and thoughtful...... please don't let that disturb your equanimity nor self-confidence.

BTW, I am not smart, but I am dyslexic...... one outa two ain't bad.....

[AzariLoveIran]

.

Panetta made clear Washington opposed any attempt by Beijing to make unilateral moves in its push for territorial rights in the oil-rich South China Sea.

.

"Some view the increased emphasis by the United States on the Asia-Pacific region as some kind of challenge to China. I reject that view entirely," he said. "Our effort to renew and intensify our involvement in Asia is fully compatible… with the development and growth of China. Indeed, increased US involvement in this region will benefit China as it advances our shared security and prosperity for the future."

.

Same story with Adolf

per capita, America consuming 11 times more oil then China

America must consume less oil, China more

this adjustment will come with bloodshed


.

[monster_gardener]

.

Panetta made clear Washington opposed any attempt by Beijing to make unilateral moves in its push for territorial rights in the oil-rich South China Sea.

.

"Some view the increased emphasis by the United States on the Asia-Pacific region as some kind of challenge to China. I reject that view entirely," he said. "Our effort to renew and intensify our involvement in Asia is fully compatible… with the development and growth of China. Indeed, increased US involvement in this region will benefit China as it advances our shared security and prosperity for the future."

.

Same story with Adolf

per capita, America consuming 11 times more oil then China

America must consume less oil, China more

this adjustment will come with bloodshed


.

Thank you Very Much for your post, Azari.

opposed any attempt by Beijing to make unilateral moves in its push for territorial rights in the oil-rich South China Sea.

IMVHO based on American/Uz experience, VERY good advice...... We Uz have done similar in "ancient" times like the 19th and 20th Century..... Became really popular....... NOT!!!!!!! **

China is/has/will become about as unpopular with its neighbors as we Uz would be if we claimed ALL the Oil & fish in the Gulf of Mexico from the coast of Florida to the coast of South America....

China is going to end up with "Han Dragon Go Home!"....... And see the Tigers flirt with the Uz Eagle........

Just like we uz would hear "Yanqui Go Home" again if we tried that.... And see Latins like Venezuela flirt with the Russian Bear & Persian Peacock like Chavez does already.......

IMVHO China needs to set up some sort of resource/profit sharing agreement with the valiant Vietnamese *, the Phillipines, etc.....

Just like the Turks, Cyprus, Greece etc. need to do in the Mediterrean.........

Same story with Adolf

For G_d's sake LOSE Adolf, Azari!

Adolf Hitler is an Olympics of Evil Triple Plus Dental Gold Medal Winner World Class Malignantly Evil Bad Guy in the same class as Pol Pot & Genghis Khan


Or WORSE........ Genghis & fiends often gave you more of a chance...... Submit and live.........

Pol Pot not so much...... Death for wearing glasses

Or Don't........

May be too late..........

For me at least, constantly invoking/excusing Adolph Hitler speaks volumes...

America must consume less oil

Probably...... And that happens when the price rises....

Should conserve, use efficiently, find alternatives....

Remembering the run up to the 2008 election..... Prices up, use down, party in Presidential power lost......

China more

It will...........

Should also conserve, use efficiently, find alternatives.......

AIUI China's industry is often notoriously inefficient and polluting...........

this adjustment will come with bloodshed

Sadly you may be right........

Hope you are wrong......

Hope it is minor if it happens.....

SE Asia has had nasty anti-Chinese riots in the past....

And the Chinese victims are often Christians........

*May it be FOREVER remembered that the Valiant Viets put down the DEMONIC Devils of the Khmer Rouge against the opposition of the Chinese Dragons sadly with the support of the Uz government...

That is one time in my life when I, an Uz, am sure I personally was on the side of Good in this Mappo world..... Even if my country's leaders were not..

**At least occasionally we did a little good along with the bad...... Remembering an incident IIRC in Honduras where when the Marines took over the railroad..... Locals were ASTONISHED that the cargo got on at one end of the track, got off on the other and that the employees were actually paid their wages on a regular basis... Was not standard operating procedure ..... Same with railroad maintence in other Central American locales... Gringo Uz do it, the locals often don't.......

OTOH IIRC we Uz shamefully helped engineer a coup in IIRC Guatamala because the lying United Fruit Company (Chichita) didn't want to be compensated for their land on the basis of the LYING values they reported for Tax purposes..... Managed to get Uz panicked about some low quality arms the for a change an honest President was buying from the Communists Czechs...... Contagion..... Hot Buttons.......

[AzariLoveIran]

.

Agree, China must sit down with neighbors and make friendly arrangement about those Oil & Gas territories

true

but

not sure, whether, America, a good faith arbitrator in China/Vietnam/Philippine/Indonesia etc etc get-together to get to an amicable arrangement for the resources

in contrary

pretty much sure bet America will agitate those guys against China .. very similar to America agitating Arabs against Iranians and all that lavender in Middle East and profiting from it

my guess is, America will arm those guys (+ Australia and maybe Japan) against China, forcing China into more and more spending for arms, similar to USSR .. this way China will be slowed down and fucked

that is the plan

but

notion

Vietnam or Philippine or Indonesia or Burma can counter China, stupid .. they can't

big push and pull in that space is ahead

looks to me, America considers Iran wrapped up the whole thing

meaning

that space will be trusted into good Iranian hands

America has now a new theater of operation for mischief


re Adolf

what I meant (and always mean) is not he good .. yes , he very very bad

what I mean is Germans @ that time had same issue like now China and India

you guys control the Oil & Gas and all other resources in Africa and and and

and

India and China are the have nots

you guys could cut off those resources to India & China, in moment's notice, like Brits did cut Oil to Japan leading to Pearl Harbor

India has 1.7 billion people .. China same .. a cut off of resources to them, like now might happening in Australia (iron ore etc) or Saudi Arabia (100% owned and controlled by America) and and and

If resources cut to India and China .. 3 billion people could revolt .. 100s of million could be killed

America now pushing and forcing India and China not to buy Oil from Iran .. India says genuflect you , same with China .. but America using all tricks, forbidding payment clearing, not insuring tankers and and and .. that means America playing with popular uprising in China and India

America, west, pretty much forcing Iran not be able to sell it's good (Oil & Gas and and) or buy goods .. could happen to India or China

West, suddenly, could argue, a bullshit reason, China human right this, military that, and, boycott buying or selling certain goods to China .. things escalate, OK, Saudi not allowed to sell Oil to China (like now with Iran)

Look, no shortage of BullShit reasons .. Pakistan has 100+ nuclear bomb and F-16, but Iran is sanctioned

America (and west) can do this only because they control the world resources

Same as Brits controlled the resources and Adolf was the result (that's what I mean with Adolf)


.

[Typhoon]

Bloomberg | Tiananmen Date Match Bars Searches For China Stock Index

The benchmark Shanghai Composite Index dropped by 64.89 (SHCOMP) points yesterday, matching the date on which Chinese authorities crushed student-led protests on June 4, 1989.
Queries for “Shanghai Composite” on Sina Corp.’s Twitter-like Weibo service returned a message that said results can’t be displayed “in accordance with relevant laws, regulations and policies.”

It's funny that this coincidence happened. Even more funny that the Chinese authorities reacted as they did.

[AzariLoveIran]

.


He said that China was worried that the U.S. “would take over the entire Middle East” if Iran, Syria and Lebanon were to fall, and that it might “choke China off” oil supplies in a time of crisis.


yes,

that is the plan

you remember what lead to Pearl Harbor ? ?

Japan was cut off of Oil by US/Brits

same thing is in pipeline

China (and India) is a rival of west

to slow down China, to genuflect China, West must have total control over all natural resources in ME & central Asian space

very similar situation developing to 1900's British-German situation

Germany needed natural resource, Oil, Iron Ore, copper and and

Brits controlled all those

leading to war

exactly same now with China

China has massive need for natural resources, Oi, Gas, Iron Oil (Australia, Brazil), copper and and and

west controlling all those, west acts as arbitrator

this unacceptable for China (and India)

in reality

a war has already started between China and West .. China and West positioning for war

Burma, drug-production based economy, vicious military dictatorship, long time enemy, now suddenly LoviDovi, Vietnam, Australia, Indonesia and and and

West took over Libyan Oil, Iraq Oil, Baku Oil, Kazakhstan Oil ..

next, must genuflect Syria to get @ Iran

China knows this


stay tuned for the clash, bang is comin



.

[AzariLoveIran]

.

qwVBuMkXqjo

.

[AzariLoveIran]

.


China’s space agency said on Saturday that it will launch astronauts later in June to perform the country’s first manned space docking . .

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One crew member will remain aboard the Shenzhou 9 as a precautionary measure while the others enter the orbital module, Xinhua said.

The People’s Liberation Army drives China’s space program, and civilian institutions such as universities and laboratories are subject to the military’S efforts.

.

Lookin forward for a space rendezvous with Iranian astronaut


.

[Typhoon]

. . .

Lookin forward for a space rendezvous with Iranian astronaut


.

I'm tempted to start at thread on bicycling in Iceland simply to see how you would find a way to relate it to Iran.

[Typhoon]

Bronte Capital | The Macroeconomics of Chinese Kleptocracy

China is a kleptocracy of a scale never seen before in human history.
This post aims to explain how this wave of theft is financed, what makes it sustainable and what will make it fail.
There are several China experts I have chatted with – and many of the ideas are not original.
The synthesis however is mine. Some sources do not want to be quoted.

Provides an overview of some Our Man in Beijing observations previously posted.

[monster_gardener]

Bronte Capital | The Macroeconomics of Chinese Kleptocracy

China is a kleptocracy of a scale never seen before in human history.
This post aims to explain how this wave of theft is financed, what makes it sustainable and what will make it fail.
There are several China experts I have chatted with – and many of the ideas are not original.
The synthesis however is mine. Some sources do not want to be quoted.

Provides an overview of some Our Man in Beijing observations previously posted.

Thank you VERY Much for your post.

I get the gist but hope some of the more financially literate will take a look and comment on things like how inflation finances the corruption.... and that low levels of inflation may bring down the Chinese MOTU elite.......

Some points I notice........

1. If I Undestand It (IIUI) correctly the Chinese Communist Masters of the Universe (ChiCom MOTU Elite) in collaboration with Uz Accounting firms BENFITED from the Uz financial collapse....... What the Devil is going on here???...........

2. Despite the high level of corruption, Chinese millionaires do occasionally get executed for their crimes unlike here........

Maybe the executed are just sacrifices to placate the Chinese masses............

3. The ChiCom MOTU Elite, like the Western MOTU Elite likes to live and have its money in Uz.....

I think I understand why....... See point 2. and while we Uz may be trollish and bitch a lot but despite being highly armed we don't go Judge Bao/Dee/Dredd on our leaders...

Usually Chinese workers at places like Apple FoxCON defenestrate themselves but sometimes they do defenestrate the boss and make sure that the EMTs are delayed until he is dead........

http://en.wikipedia.org/wiki/Defenestration

4. It sucks to be a Chinese Dragon unless you are a BIG Chinese Dragon.....

Especially bad to be a small Old Chinese Dragon......... better to fly away if you can while young .............. Even Uz is better......... As of yet...........

[AzariLoveIran]

.


. . disintegrating Europe could devastate the US economy, forcing Washington to choose to leave Asia to China and concentrate instead on the fight to regain Europe and the Middle East.

.

China can fiddle as Rome burns

ROME - Is there any chance that Italy, as we have known the country since the end of World War II, will survive the current crisis? I don't think so, and the consequences of this could reverberate as far as to China.

.

Europe will drag America down


.

[Typhoon]

Asahi Simbun | Investigators say Bo Xilai's wife admits to killing Briton - Heywood

Glamorous Gu Kailai, the wife of ousted Chongqing city boss Bo Xilai, has confessed to killing British businessman N. Heywood, according to Chinese Communist Party sources.

Gu, who is being interrogated in a government-affiliated facility in the north of China, told investigators she killed Heywood to stop him revealing illegal remittances of billions of dollars abroad that he allegedly helped organize for her, the sources said.

She was under investigation for the illegal remittances when 41-year-old Heywood was discovered dead in a Chongqing hotel in November.

The city authorities, then under the effective control of Gu’s husband, Chongqing municipal Communist Party committee secretary Bo Xilai, initially attributed Heywood’s death to a drinking binge and quickly cremated his body.

Heywood Jablome.

Due to a translation error, Gu Kailai misunderstood and literally blew him . . . away.

[AzariLoveIran]

.


Chinese cities and provinces are falsifying statistics to mask the extent of the downturn in the nation’s economy

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Record-setting mountains of excess coal have accumulated at the country’s biggest storage areas because power plants are burning less coal in the face of tumbling electricity demand. But local and provincial government officials have forced plant managers not to report to Beijing the full extent of the slowdown, power sector executives said.

..Western economists say there is evidence that local and provincial officials are falsifying economic statistics to disguise the true depth of the troubles.

The National Bureau of Statistics, the government agency in Beijing that compiles most of the country’s economic statistics, denied that economic data had been overstated.“This is not rooted in evidence,” an agency spokeswoman said.

Officials at all levels of government are under pressure to report good economic results to Beijing as they wait for promotions, demotions and transfers to cascade down from Beijing. So narrower and seemingly more obscure measures of economic activity are being falsified, according to the executives and economists.

“The government officials don’t want to see the negative,” so they tell power managers to report usage declines as zero change, said a chief executive in the power sector.

Another top corporate executive in China with access to electricity grid data from two provinces in east-central China that are centers of heavy industry, Shandong and Jiangsu, said that electricity consumption in both provinces had dropped more than 10 percent in May from a year earlier. Electricity consumption has also fallen in parts of western China. Yet, the economist with ties to the statistical agency said that cities and provinces across the country had reported flat or only slightly rising electricity consumption.

.

All wars in history till now, have been due to economy .. right now, west and east is engaged in economic war

that is why

west and east , both , lie about economic statistics

American statistics of Greenspan era was all BullShit .. Greenspan saying for 15 years inflation non existent when house prices were doubling every year .. well .. result was to cone foreign money into US and when the BANG hit, but dick on the table

so

same in China


.

[monster_gardener]

Asahi Simbun | Investigators say Bo Xilai's wife admits to killing Briton - Heywood

Glamorous Gu Kailai, the wife of ousted Chongqing city boss Bo Xilai, has confessed to killing British businessman N. Heywood, according to Chinese Communist Party sources.

Gu, who is being interrogated in a government-affiliated facility in the north of China, told investigators she killed Heywood to stop him revealing illegal remittances of billions of dollars abroad that he allegedly helped organize for her, the sources said.

She was under investigation for the illegal remittances when 41-year-old Heywood was discovered dead in a Chongqing hotel in November.

The city authorities, then under the effective control of Gu’s husband, Chongqing municipal Communist Party committee secretary Bo Xilai, initially attributed Heywood’s death to a drinking binge and quickly cremated his body.

Heywood Jablome.

Due to a translation error, Gu Kailai misunderstood and literally blew him . . . away.

Thank you VERY Much for your post, Typhoon...........

I noticed the partial phrase on the bottom of the book cover..... "Justice in America"............

YIKES......... Murder AND sending Billions overseas........

I'm betting she's wishing she was living....... even being prosecuted in the USA..........

The worst that happens to billionaire swindlers here is effectively life in prison and getting to go the Indian Sweat Lodge for religious services like Bernie Madoff does.....

IMVHO there is a fair chance that she and associates are going to get the Judge Dee/Judge Bao treatment and end up in the Organ Banks after a date with the modern version of Bao's Guillotines*!

Could be a pretty good human sacrifice to divert the Chinese masses from directing anger at the CCP in general

http://en.wikipedia.org/wiki/Bao_Zheng


*Bullet in the back of the head .......


y9PhH0-WQM0

[AzariLoveIran]

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World's Energy Interstate - China's ports on Indian Ocean



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[Ibrahim]

Bronte Capital | The Macroeconomics of Chinese Kleptocracy

China is a kleptocracy of a scale never seen before in human history.
This post aims to explain how this wave of theft is financed, what makes it sustainable and what will make it fail.
There are several China experts I have chatted with – and many of the ideas are not original.
The synthesis however is mine. Some sources do not want to be quoted.

Provides an overview of some Our Man in Beijing observations previously posted.

Further quotes from the linked blog:

China is a kleptocracy. Get used to it.

Nah. This term is really only applicable to groups looting something they didn't build. The first wave of oligarchs looting the USSR, African tinpot dictators buying gold-plated AKs with diverted aid revenue. Chinese corruption is endemic, but the Chinese economy also produced that which part of the ruling class loots from, and has massively improved the economic conditions (if not environmental or political) of a large and growing segment of their population.

China has huge underlying economic growth from moving peasants into the modern economy

Absolutely correct. The modern global economy is driven by consumers, China has built a consumer class out of its massive population, with a reserve of rural peasants still waiting in the wings.

The one-child policy drives massive savings rates

Disagree. For the alleged kelptocrats what could it matter? Petit bourgeois Chinese spend freely on luxuries, and would presumably divert some of that spending to more children if possible, while still saving as Chinese are (so far) still usually inclined to do.

Low and middle income Chinese have very limited savings options

This is true, and a major problem leading to class resentment and a general encouragement of breaking the law to protect savings.

Bank deposits and life insurance as a savings mechanism in China

Inflation is big issue in China, making this recourse problematic.

The Chinese property market as a savings mechanism

This isn't what drives the construction boom. The properties are always technically owned by somebody else, and frequently the development isn't supposed to make any money at all, merely divert some funds to well-connected contractors. These empty buildings aren't a savings method, they are work-creation schemes mixed with graft.

Negative returns on bank deposits and the Chinese kleptocracy

A call-back to the previous points about limited savings options, this too is a real problem. It causes many Chinese with assets to move them illegally rather than take a loss on the permitted savings options.

The cost of funds in China and the willingness to hold foreign bonds

I think this is more politically driven, but even so the article is correct that there is no economic downside for China holding US Treasuries.

Monetary threats to the Chinese establishment

I don't agree with the summation here at all. Revaluing the Yuan would indeed screw over the Chinese establishment, but it would screw over everyone else at the same time. It's a game of chicken between a Honda and a freight train. As for "revolution" this might be a possibility, but it will have nothing to do with taking a hit on savings or other prosaic concerns. The number of people who are just so excited to have the problem of what to do with their new cash surplus vastly outweighs the number of people crying about their losses on bank deposits.

[AzariLoveIran]

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NYT - Price Data Suggest Specter of Deflation in China

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HONG KONG — Prices are tumbling across the Chinese economy, according to government data released on Monday, as a flood of goods pouring out of the nation’s factories and farms exceeds anemic demand from Chinese households and businesses.

The downward trend makes it much harder for businesses to sell enough goods to repay loans that they took out, usually on the expectation of rising prices. Falling prices also discourage investment, which has slowed sharply this spring, and give consumers an incentive to delay purchases until prices can fall further.

The news of falling prices, together with a pledge by Prime Minister Wen Jiabao on Saturday to maintain stringent bans on real estate speculation, produced a sharp slide on Monday in Chinese stock markets. The Shanghai stock market dropped 2.37 percent, while the Shenzhen stock market fell 2.21 percent.

Consumer prices dropped 0.6 percent in June compared with May, the largest month-to-month drop in two years, the National Bureau of Statistics in Beijing announced on Monday. Consumer prices were up 2.2 percent from a year ago, but only because prices kept rising fairly briskly through January of this year before beginning what has now become an accelerating descent.

Producer prices, measured at the factory gate, were down 2.1 percent in June compared to a year earlier, and down 0.7 percent in June compared to May. These prices had started to weaken late last summer, about six months before consumer prices began eroding.

more @ link

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We in worldwide deflation

will take generation or two to digest the excesses


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[Typhoon]

FT | China’s job market under stress

[Typhoon]

The Looting of China by the Kleptokapitalist Bourgeoisie Roaders