China declares war................(Is Schiff about to be proved right?)

[Mega]

http://uk.finance.yahoo.com/news/Chi...38169.html?x=0
I remember him back in 06 talking about the end game...........he said that China/rest of the World would "Decouple" from US econermy..........he said they lift rates & lift the living standards of its own 1.3 BILLION people & thus with a market like that they won't need the US.

Is this it?
Mike

[jk]

Re: China declares war................(Is Schiff about to be proved right?)

http://uk.finance.yahoo.com/news/Chi...38169.html?x=0
I remember him back in 06 talking about the end game...........he said that China/rest of the World would "Decouple" from US econermy..........he said they lift rates & lift the living standards of its own 1.3 BILLION people & thus with a market like that they won't need the US.

Is this it?
Mike

i doubt the chinese are ready to write off the u.s. consumer market -- too many repercussions for them at home. i don't think they'll write off the u.s. market until there isn't one any longer, i.e. the u.s. is mired in its next recession [or the next downleg in this one, depending on how you want to look at it]. it's odd, you mentioning what schiff was saying in '06. i just posted a link in another thread, pointing to a discussion of a schiff interview in sept '06.

[nero3]

Re: China declares war................(Is Schiff about to be proved right?)

i doubt the chinese are ready to write off the u.s. consumer market -- too many repercussions for them at home. i don't think they'll write off the u.s. market until there isn't one any longer, i.e. the u.s. is mired in its next recession [or the next downleg in this one, depending on how you want to look at it]. it's odd, you mentioning what schiff was saying in '06. i just posted a link in another thread, pointing to a discussion of a schiff interview in sept '06.

I have read and heard a good deal of what Schiff have put out there. He and others like him have driven up currencies such as the Australian dollar to bubble levels. It's a carry trade. The inflation in China is so bad that people in Shenzhen are travelling to HK (with the subway) to shop their food, even items such as toilet paper. They have even bid up HK property past already inflated bubble levels. Maybe their logic is that HK property must be cheap relative to property some places in China. I think it's possible that there could be an effect where not only China have to raise interest rates and devalue the RMB (to provide liquidity to the banking system following a collapse of real estate), but that the crash for the commodities also will bring down the Australian dollar forcing up interest rates in Australia, crashing their housing market. Lately, these last days of the years it appears the oposite is happening. I have seen some of the same things that happened after 2005. Weaker dollar, stronger RMB and a possible worsening of the commodity bubble. Maybe that's what will happen and that Schiff will appear right, even he is just endorsing a bubble.

[touchring]

Re: China declares war................(Is Schiff about to be proved right?)

The inflation in China is so bad that people in Shenzhen are travelling to HK (with the subway) to shop their food, even items such as toilet paper. They have even bid up HK property past already inflated bubble levels. Maybe their logic is that HK property must be cheap relative to property some places in China.

This isn't the only reason, and maybe even only the secondary reason. There's a lot of fake and adulterated foods in China. In fact, any food where whitening process is used can be poisonous if they use toxic bleaching agents, take for example, white flour, noodles, even mushrooms - turning brown button mushroom white. Meats are also dangerous due to excessive use of antibiotics - in China antibiotics is added to feed, even feed for farmed fish.

If one can't eat meat, bread, and noodles, there's almost practically nothing else to eat.

http://www.qatarliving.com/node/1534343

Noodles in latest China food scare""


By kumaran_63 on Sat, 01/01/2011 - 3:19pm ""Noodles in latest China food scare
Large amounts of rice noodles made with rotten grain and potentially carcinogenic additives are being sold in south China, state press said yesterday, in the country’s latest food safety scare.
Up to 50 factories in south China’s Dongguan city near Hong Kong are producing about 500,000kg of tainted rice noodles a day using stale and mouldy grain, the Beijing Youth Daily said.
The cost-conscious producers were bleaching the rotting rice and using additives including sulphur dioxide and other substances that could cause cancer to stretch one pound of grain into three pounds of noodles, it said.
The poor-quality rice had often been reserved for animal feed before food prices began rising dramatically in China in the latter half of 2010, the paper said, citing wholesalers.
Rice noodles, often fried and served with bits of meat and vegetables, are a favorite in south China.
In recent weeks, a series of tainted food incidents have been reported in the state media as China gears up for New Year and Lunar New Year celebrations—a time when food and alcohol purchases traditionally increase.
Tainted red wine, bleached mushrooms, fake tofu and dyed oranges have all surfaced on store shelves—spooking consumers still wary about food quality after a deadly scandal erupted two years ago over contaminated milk powder.
In Dongguan, a random inspection of 35 rice noodle factories in early December revealed that only five of them were making products that were up to standard, the report said.
The paper did not say what action the government would take against the manufacturers. But the food processing methods used to make the tainted noodles were spreading to other regions as an accepted way to cut costs, it said.
Most of the rice noodles were sold to canteens in thousands of factories in Dongguan, located in China’s export-oriented industrial heartland, while about 10% were on sale in city markets, it said.
The Chinese government has come under increasing pressure from its citizens as well as foreign countries to improve the standard of its food and medicines.
In 2008, at least six children died and around 300,000 fell sick after consuming powdered milk laced with the industrial chemical melamine, which was added to make products appear higher in protein. AFP ""
Source:-http://www.gulf-times.com/site/topics/article.asp?cu_no=2&item_no=407500&version=1&template_id=45&parent_id=25

http://www.meattradenewsdaily.co.uk/...ivestock_.aspx
"

China - Pumping antbiotics into livestock

19 Dec 2010
We all know that, thanks to worries about superbugs, taking antibiotics isn't the best course of action when all you've got is a bit of a cold... but it seems like we may be throwing them in our bodies anyhow just through the food we eat. According to China Daily, almost half of the antibiotics - 97,000 out of the 210,000 produced in China - are being used on livestock.



As a result, unsuspecting citizens have developed a strong resistance to drugs through their diets. The People's Daily reports on one unfortunate consequence:





A 650-gram premature infant born in Guangzhou developed resistance to seven kinds of antibiotics, which was suspected to be due to his mother's daily intake of meat and eggs that contained remnants of antibiotics.




Antibiotics have been banned from being added to fodder in Europe, and a similar ban is expected to take place in South Korea next year. Unfortunately, since the introduction of antibiotics into the breeding industry in China during the 1990s, its use has expanded to compensate for the limited sanitary conditions that have been established for farming. Carrying out a similar ban in China would mean losing a massive amount of livestock to serious diseases.





A survey carried out by the Chinese Academy of Social Sciences has also found that of the farmers interviewed, 50 percent add antibiotics and drugs into the diet of their livestock, now that's something to chew one's cud about. Especially because it doesn't just disappear after use.




Says Eastday:

"Western countries initially fed pigs antibiotic waste in 1960s to speed up their growth and later applied that to the entire industry," said Xie Zhongquan, chairman of Beijing Feedstuffs Industry Association. "However, the man-made wastes form residues inside animal bodies as they are unable to degrade.

[nero3]

Re: China declares war................(Is Schiff about to be proved right?)

This isn't the only reason, and maybe even only the secondary reason. There's a lot of fake and adulterated foods in China. In fact, any food where whitening process is used can be poisonous if they use toxic bleaching agents, take for example, white flour, noodles, even mushrooms - turning brown button mushroom white. Meats are also dangerous due to excessive use of antibiotics - in China antibiotics is added to feed, even feed for farmed fish.

If one can't eat meat, bread, and noodles, there's almost practically nothing else to eat.

http://www.qatarliving.com/node/1534343


http://www.meattradenewsdaily.co.uk/...ivestock_.aspx
"

I think it's because China have increased the money supply with more than 500 % over the last 10 years, while HK have done with just 100 %, more broad money means more inflation. What's so special is that the RMB holds it's value vs the other currencies so they can keep on buying more and more stuff, but a lot of the inflation problem is a domestic story where the exchange rate don't matter. However, they are really having good growth to support it. This traffic to HK was less of a problem before, it's specially now in 2010. Inflation in Mainland China is much worse than in HK. That's also why the quality of some goods might be better in HK. The inflation is not a secondary reason, it's the main reason.

[touchring]

Re: China declares war................(Is Schiff about to be proved right?)

That's also why the quality of some goods might be better in HK. The inflation is not a secondary reason, it's the main reason.

We don't find this happening in Germany during the 1930s do we?

Inflation is not the main reason why the quality of food products are so bad. The primary reason is the destruction of ethnics and religion from the earlier days of Mao and the cultural revolution. Without ethnics, people won't care if the food they sell poisoned people.


Reported only 4 days ago.

http://china.globaltimes.cn/society/2010-12/606585.html

Factories shut for producing bogus tofu

• Source: Global Times
• [08:28 December 29 2010]

By An Baijie
Two factories in Wuhan, Hubei Province, have been closed by local authorities for producing and selling fake tofu products that experts say are detrimental to health.
The local industry and commerce bureau of Dongxihu district in Wuhan found that the two unlicensed factories made the fake tofu using chemical ingredients including isolated soy protein and pigment. The fake tofu was then packaged under the trademark of a legitimate food company in Jiangsu Province and sold at markets in Hunan and Hubei provinces, according to a report in the Yangtze Business News.
A worker at one of the factories, surnamed Zhou, said they mixed soy protein, flour, salt, and monosodium glutamate together, added ice and pigment, all of which were edible, then put it into boxes and steamed it, and finally packaged the product.
The manager of the factory, surnamed Zou, said the factory was not registered, nor did it possess a health license, said the report.
A female employee from Jiangsu Dianfa Food Ltd, who declined to be identified, told the Global Times that her company had not given authorization for the fake tofu to be packaged under the Dianfa Food logo.
Dong Zhibao, the manager of Dezhou Zhibao Tofu Ltd, told the Global Times that some of the ingredients used to manufacture the fake tofu were potentially harmful to human health.
The incident is just the latest in a series of fake food scandals. Fake eggs were also found in some markets and shopping malls nationwide, which were made with ingredients similar to jelly, according to a report in the China Youth Daily.

[nero3]

Re: China declares war................(Is Schiff about to be proved right?)

We don't find this happening in Germany during the 1930s do we?

Inflation is not the main reason why the quality of food products are so bad. The primary reason is the destruction of ethnics and religion from the earlier days of Mao and the cultural revolution. Without ethnics, people won't care if the food they sell poisoned people.


Reported only 4 days ago.

http://china.globaltimes.cn/society/2010-12/606585.html

I think the main reason they go to HK and shop is the inflation issue, and that the inflation issue is central to some quality issues as well. Inflation also affect quality, imagine how expensive a BMW would be today if they had used the same grade of leather they were using just 10 years ago. That's another problem with inflation that costs are hard to pass on, and some might be tempted to shortcuts, and in other cases it will just be that a car producer choose a lower grade of leather. I have noticed it a lot even here when it comes to the quality of the food. I swear quality was better 10 years ago.

Part of the problem with some of the communist countries of Russia was that most of the capital was centered around the corrupt (who else make money in a communist country), and that also reflect the business in these countries later on.

When I last was in China, my impression is that you can start a factory very easy. To easy. It's just boiling everywhere, like nothing I have ever seen elsewhere. It just makes perfect sense to me what the article describe. It's like there is totally unregulated capitalism there.

[touchring]

Re: China declares war................(Is Schiff about to be proved right?)

The primary reason is the destruction of ethnics

It should be ethics.

Communism seem to evolve into a different breed of capitalism, as also in the case of Russia.

You don't find the Taiwanese or Hong Kong people selling fake foods, even during the 60s and 70s.

[D-Mack]

Re: China declares war................(Is Schiff about to be proved right?)

Think Again: American Decline


This time it's for real.


..

In a nuclear age, China is unlikely to get sucked into a world war, so it will not face turbulence and disorder on remotely the scale Germany did in the 20th century. And whatever economic and political difficulties it does experience will not be enough to stop the country's rise to great-power status. Sheer size and economic momentum mean that the Chinese juggernaut will keep rolling forward, no matter what obstacles lie in its path.

http://www.foreignpolicy.com/article...cline?page=0,1

I'm surprised to read such an article after everyone in the establishment media predicts the opposite

[touchring]

Re: China declares war................(Is Schiff about to be proved right?)

I'm surprised to read such an article after everyone in the establishment media predicts the opposite

IMHO, America's finished. The world doesn't need IP, patents or virtual goods - like open source, these are free in the new world order.

I think the likelihood of America starting a nuclear war within 20 years is very high. What would a military superpower with 50 million jobless dudes do? War will create employment for both military and the weapon manufacturing sector - which America still has an edge since IP for weapons are highly guarded.

[Sharky]

Re: China declares war................(Is Schiff about to be proved right?)

China declares war................(Is Schiff about to be proved right?)

Over the centuries, what is the traditional reason for a country going to war? To obtain resources. What does the victor do at the end of the war? They raid all of the wealth of the target country, and bring it back home, where it's used to increase the living standards of both the people and their leaders.

Today, bombs are obsolete; economic warfare is much more effective.

Isn't this what China has already accomplished? They're sucking the US dry; first with the movement of entire industries, and then the money flow that follows. What's worse is that America gleefully helped China accomplish their goal.

[touchring]

Re: China declares war................(Is Schiff about to be proved right?)

What's worse is that America gleefully helped China accomplish their goal.

Israel will not exist if the Anglo Saxon loses military dominance. There is no doubt about this. The Persians had been the allies of China for 2000 years.