UncleBuck
Well-Known Member
i am right there with you on the gold bubble.
Vote ron paul 2012
- Thread starter bongface
- Start date
dukeanthony
New Member
The dollar is worthless
so what currency buys gold cheaper?
so what currency buys gold cheaper?
Just lost a post lol. So here is a quick recap. China has inflation issues because the currency is kind of locked down in price. If they unlock it, their exports go away. If they leave it where it is, inflation makes life worse for the Chinese people. Add to it that they are building like 20 cities a year that no one lives in. At some point it will get so bad they will have to unlock their currency. They know this, and I think that is why they are working so hard to build the cities and urbanize the people. They have 60 million empty homes already and they are still madly building. Enough to house 1/5 of their population. Except inflation has made it impossible for the people to afford to live there. They have empty 10 billion dollar cities that no one lives in. Their population isn't increasing due to their population control rules. The population will start to shrink. Without the people living there and the jobs in place already, they can not sustain themselves with domestic demand. Inflation is 6%. I think they have a few years left before the cracks show and there is a mass panic. There stock market and housing market will implode and they will have a real bad time of it and spend all their surplus money trying to hold it together. In order to spend the surplus they will have to use those dollars, wont they? That means selling them on the market, which will drop the price and hurt China's exports even more. Downward spiral. I could be wrong though, it happens, right?
I'm not predicting a 2012 movie type apocalypse. Im predicting something that has happened a bunch of times before. Whether what we do causes it today or in 20 years, or in 50 years.
The Ruiner
Well-Known Member
I think we are both getting at the same point, just a difference of opinion towards the flash-crash spontaneous sell-off. Nice analysis, though.Just lost a post lol. So here is a quick recap. China has inflation issues because the currency is kind of locked down in price. If they unlock it, their exports go away. If they leave it where it is, inflation makes life worse for the Chinese people. Add to it that they are building like 20 cities a year that no one lives in. At some point it will get so bad they will have to unlock their currency. They know this, and I think that is why they are working so hard to build the cities and urbanize the people. They have 60 million empty homes already and they are still madly building. Enough to house 1/5 of their population. Except inflation has made it impossible for the people to afford to live there. They have empty 10 billion dollar cities that no one lives in. Their population isn't increasing due to their population control rules. The population will start to shrink. Without the people living there and the jobs in place already, they can not sustain themselves with domestic demand. Inflation is 6%. I think they have a few years left before the cracks show and there is a mass panic. There stock market and housing market will implode and they will have a real bad time of it and spend all their surplus money trying to hold it together. In order to spend the surplus they will have to use those dollars, wont they? That means selling them on the market, which will drop the price and hurt China's exports even more. Downward spiral. I could be wrong though, it happens, right?
Gold bubbles run opposite to the financial bubbles. Everyone knows that. If/When the market recovers, gold and silver will fall. Why? People realize Gold/Silver always hold their value and dollars doesn't. Gold was depressed before the recession, the real price is somewhere in the middle. Was there ever a time in history when gold or silver were worthless?
PeachOibleBoiblePeach#1
Well-Known Member
I'm voting "Obama",,,and "investing in silver and Platinum,,,and I'm going to take a hit of "G-13 lab's WW and Passing it 2 you"....
UncleBuck
Well-Known Member
i predict something bad will happen somewhere sometime between 0 and 50 years from now.
I figured you knew what I was getting at. Thanks. I have a lot of Chinese friends and I think I spend too much time talking to them about this stuff. It is a lot different hearing it from someone who spends time there and still has family there then it is from officially released numbers.
Really, if our economy had lasted another 5 years China might of been ready to shrug us off I think. I think there plan was to make us pay for their urbanization so they could get their economy domestic then slowly bleed us off their books or at least minimize us.
The Ruiner
Well-Known Member
UB,
China is pretty screwed, that is something that will either manifest itself in A) a total implosion. B) a balkanization with major cities seperate from the rural areas. Or C) they miracle some shit and continue an unlimited growth paradigm.
China is pretty screwed, that is something that will either manifest itself in A) a total implosion. B) a balkanization with major cities seperate from the rural areas. Or C) they miracle some shit and continue an unlimited growth paradigm.
lol, I should start voting for whoever sucks the worse and buy more silver cause that is what would improve my investment the most. Good sound advice, thanks.I'm voting "Obama",,,and "investing in silver and Platinum,,,and I'm going to take a hit of "G-13 lab's WW and Passing it 2 you"....
PeachOibleBoiblePeach#1
Well-Known Member
No,,,Problem lol
How do you think a civil war in China would impact us? Back whichever side we liked the best in exchange for our debt being written off?
The Ruiner
Well-Known Member
They are already trying to bled us in the form of nationalistic trade/investment. It's getting pretty nasty, but the reality is that they are more scared than we are. The total net-worth of China is still no where near that of the US, and this whole thing could just be the US shrugging China off. They have needed us more than we have ever needed them.
I never really got it that China was so shaky til I started hanging out with Chinese people.
The Ruiner
Well-Known Member
The debt is a non-issue: China can't collect (they can't sell either), and they cant afford to stop trading with us. In a civil war, I think that we would have to help china secure the industrial sectors sensitive to US interests.
A glimmer of the future was granted by Hilary Clinton recently. She published an article titled America's Pacific Century
The Ruiner
Well-Known Member
Well, it's not really a secret about how bad things really are to the Chinese living in China. I mean, the amount of protests, demonstrations, riots, and strikes are testament to this. It's scary to think that they (in the urban areas) are already a police state that is barely able to control the civil unrest. Their reaction to the Occupy____ protests was "Wall Street BAD!!!" while completely ignoring that there was an attempted "occupy beijing" because they censor literally friggin everything.
RyanTheRhino
Well-Known Member
would you rather pick by the lies other say but never keep.
The Ruiner
Well-Known Member
How do you know the difference? They can talk all they want when they aren't in office. Ron Paul included.
RyanTheRhino
Well-Known Member
Ron Paul dose not change his mind based on polls..
he has been saying the same thing for 10 years...When they called him a nut job he still believes in what he said... He dose not care about the polls... he wont be paid off