china

China “fully prepared” for currency war: central banker

"Yi Gang, deputy governor of China’s central bank, issued the call after G20 finance ministers last month moved to calm fears of a looming war on the currency markets at a meeting in Moscow. Those fears have largely been fuelled by the recent steep decline in the Japanese yen, which critics have accused Tokyo of manipulating to give its manufacturers a competitive edge in key export markets over Asian rivals. South Korea’s incoming president Park Geun-Hye has also signalled her willingness to step in to stabilise the won and protect exporters battling a stronger Korean currency and a weaker yen." Continue reading →

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China’s Property Bubble – Why Is ’60 Minutes’ Telling the Tale?

"Western Money Power doesn't have the same control in China. China has a Western system but ultimately the ChiComs are the ones that run it. And maybe they have run it into the ground. Either it was planned or it was not. Or a combination of both. But we wrote that when the property bubble burst, if it did burst (as all bubbles must) then the Chinese Communist Party itself would be in trouble. So listen to this video snippet, excerpted above: the part where one of the largest builders of homes in China (and thus the world) is interviewed. He seems paralyzed by fear, and says a housing bust would be a disaster. He even predicts regime change." Continue reading →

Continue ReadingChina’s Property Bubble – Why Is ’60 Minutes’ Telling the Tale?

US Unlikely To Crack China FATCA Agreement

"FATCA has been created to track down the offshore financial assets of US taxpayers and make the institution concerned reveal details so that tax can be collected. Now China is telling the US that there will be so few US citizens holding Chinese bank accounts that the cost of implementing FATCA outweighs the benefit to the nation’s financial institutions. The Chinese have also pointed out that even the opportunity of signing an IGA which would allow them to get details of Chinese taxpayers in the US would also serve minimal benefit to the government." Continue reading →

Continue ReadingUS Unlikely To Crack China FATCA Agreement

No Exit: China Uses Passports as Political Cudgel

"Legions of Chinese have been barred from traveling abroad by a government that is increasingly using decisions on passports as a cudgel against perceived enemies — or as a carrot to encourage academics whose writings have at times strayed from the party line to return to the fold. The seemingly arbitrary restrictions, not unlike those of the former Soviet Union, also affect overseas Chinese who had grown accustomed to frequent visits home. Scores of Chinese expatriates have been denied new passports by Chinese Embassies when their old ones expire, while others say they are simply turned away after landing in Beijing, Shanghai or Hong Kong." Continue reading →

Continue ReadingNo Exit: China Uses Passports as Political Cudgel

FATCA: Probably the Worst Law Americans Don’t Know About

"Earlier this month, the Obama administration began preparing new legislation to force U.S. banks to disclose more information on foreign investors to those investors’ home governments. Could this because the IRS has only an empty hand to offer when it comes to reciprocity? However, the Obama administration has an uphill battle in convincing Congress to enact such coercive legislation. Many in Congress fear that foreign investors could pull trillions of dollars out of U.S. banks if the proposal becomes law. That could dramatically reduce foreign purchases of U.S. Treasury debt and crush the U.S. dollar. More blowback." Continue reading →

Continue ReadingFATCA: Probably the Worst Law Americans Don’t Know About

Work in U.S. and Spain losing its appeal for Latin Americans

"For Latin Americans seeking work abroad, traditional magnets like the United States and Spain are losing their appeal because of weak economies, said a report released Thursday. Instead, more and more are looking to countries such as Canada, Japan, South Korea and Australia, according to the study by the Organization of American States. In the US, the number of legal immigrants slipped by four percent over the same stretch, and the decrease was even more pronounced among those who lack proper residency papers, the study said." Continue reading →

Continue ReadingWork in U.S. and Spain losing its appeal for Latin Americans

New Nationalist Government of Japan Stokes Tensions with China

"Abe wants to lead the aging and insecure Asian economic power back to its former greatness and, most of all, to rid it of its unpopular 'postwar regime.' The premier wants to return Japan to its former position as a 'beautiful country,' which is also the title of a book in which he describes his vision for the nation's future. Now Abe wants to quickly increase defense spending. He is expected to buy surveillance drones from the United States soon in response to China's unveiling of eight new unmanned aircraft at an aviation show in November." Continue reading →

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In China, Widening Discontent Among the Communist Party Faithful

"Barely two months into their jobs, the Communist Party’s new leaders are being confronted by the challenges posed by a constituency that has generally been one of the party’s most ardent supporters: the middle-class and well-off Chinese who have benefited from a three-decade economic boom. Ordinary Chinese buy into a grand bargain: the party guarantees economic growth, and in exchange the people do not question the way the party rules. Now, many whose lives improved under the boom are reneging on their end of the deal, and in ways more vocal than ever before. Their ranks include billionaires and students, movie stars and homemakers." Continue reading →

Continue ReadingIn China, Widening Discontent Among the Communist Party Faithful

China Accounts For Nearly Half Of World’s New Money Supply Since 2005

"After having less than half the total US deposits back in 2005, China has pumped enough cash into the economy using various public and private conduits to make even Ben Bernanke blush: between January 2005 and January 2013, Chinese bank deposits have soared by a whopping $11 trillion, rising from $4 trillion to $15 trillion! We have no idea what the real Chinese GDP number is but this expansion alone is anywhere between 200 and 300% of the real GDP as it stands now." Continue reading →

Continue ReadingChina Accounts For Nearly Half Of World’s New Money Supply Since 2005

China ousts police chief ‘who owns hundreds of houses’

"A Chinese police chief has been sacked after reports he owned hundreds of houses and a false identity card, state media said Wednesday in the latest scandal to fuel public outrage over corruption. Zhao Haibin was stripped of his public offices for 'engaging in business deals using a fake identity card', the state-run Xinhua news agency reported, citing the Lufeng city government in the southern province of Guangdong. The case is the latest of a series involving officials owning multiple houses with different identity cards and residence permits." Continue reading →

Continue ReadingChina ousts police chief ‘who owns hundreds of houses’