What is happening there is the government run economy is spending lots of chinas foreign reserves on building projects they dont need, thereby causing prices of iron ore, copper etc to go up - good for us. This gives factory workers who were once busy manufacturing goods for foreigners something to do and it gives regional government officials in charge of reporting economic activity something positive to say to the leaders of the country
When the fools in government are done squandering all that money and china has built everything they need - I dare say a lot of it will be torn down before it gets used. Maybe commodity prices will come off the boil
the theory is by the time that happens the world economy will have picked up again and demand for manufactured goods will rise
its sort of like our pinks bats program x 1000 - interesting to note our labor party is the closest thing we have to communism
