I want to add a few more comments about the China situation. One of the long time themes on here is that China is in a Nash Equilibrium with the United States. And that equilibrium was based on the self-interests of each party in a non-cooperative mathematical game. For many years I have noted that equilibrium would eventually be broken. China is the first to break it due to their evolving economic crisis. China is far worse than anything being reported anywhere. Time will prove that statement accurate. Their capital economy has been in collapse since 2008; something noted on here in past posts. I noted the uptick in consumption in China since 2008, rather than being a positive as was reported in the mainstream financial and economics news, was a sign of coming doom. Chinaâs monetary stimulus post-2008 was the largest in recorded history comparative to GDP. All it did was lead to massive debt-fueled consumption as their capital sector was deflating. This was predicted on here and now we clearly know this without any equivocation because Chinaâs debt, which was meaningless in 2008 has skyrocketed about 500% since. What this tells us clearly is that capitalism in China started collapsing seven years ago and they have been on a spending binge ever since trying to prop up their economy. (Sound familiar) Iâll be writing more about this in some detail so that you understand this statement very clearly. But, just some intrigue for now. Some people will put my statements together to understand what I am talking about but very few people in todayâs world actually understand economics or capitalism so much of what I will write will be new and disturbing.
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