the usa's debt dwarfs china's debt ..., page-56

ctindale

You once again provide provocative thoughts.

I have a simple broad theory. My view is that China is in fact purposely manufacturing this scenario.

By expanding their growth to massive proportions they are forcing the countries of the world to rely on the continuation of this growth to sustain their own growth. What happens when the China story bursts???

I say it is all by design. Once the Chinese burst the internal growth bubble, the rest of the world no longer has a life support. Suddenly the world economy goes to the sloppy stuff (including China - collateral damage).

USD goes into the stratosphere as everyone liquidates into the reserve currency. China supports this liquidation by dumping its foreign reserves (USD) into this liquidation by buying up stressed assets world wide. Its a fire sale and China has the doe.

Now China has just successfully got rid of its poisonous USD and got good assets on the cheap.

Game of chess I say and China is playing a long game with plenty of strategy.

Gold???? Well the Chinese government is recommending its citizens to buy up gold. Why? Because it wants to immunize its population against inflation and future economic difficulties.

GC