This post was edited by abramicus at 2013-11-11 12:43
China's Economic Growth Has Finally Been Stopped
- by its own government and central bank.
Under the weight of an overvalued Yuan, courtesy of China's central bank, the PBOC, Chinese manufacturing has been pummeled into submission, and is losing its export market around the world at an alarming rate. This has been camoulfaged by the same central bank creating more credit and priting more cash, but since such cash is not able to circulate abroad, it has in turn caused domestic inflation. By raiding the value of the Yuan, the PBOC has singlehandedly undermined China's manfuacturing sector, that is the engine of its growth and prosperity. It's rationale is that China needs to be the next reserve currency of the world. This pie in the sky will not feed China's 1.4 billion people. Instead it will cause massive unemployment, poverty and the reduction of China back to a thrid rate economy and a thrid rate power.