Now China's Going Bankrupt?

[Jonas Stanley]

Read this article on Rense. If it's true than China is not immune to the Global Financial Crises either.

[Jonas Stanley]

Right on Alex, that sounds very reasonable. The Fed was audited and the results were posted today it seems. I'll post a blog on it.

[Alex Cortes]

Yes, I have and some of the points do make sense to me and considering that most of my knowledge regarding the topic is third hand, the video can be  more than correct.  But as with all things I tend to take information with a grain of salt and compare it to what I have assessed to be true.  At this point, considering how undervalued the Yuen is, all of their woes can easily be remedied by simply revaluing their currency at least to the best of my understanding.  Keep in mind that their total national dept is roughly 3 trillion us dollars.  They are ok, just taking their interest payments on their loans out to the rest of the world, they are in the black not the red.  Yes, all world economies are tenuous but some are stronger than others, China's is pretty high on the list of strong economies.

[Jonas Stanley]

Yes Alex, that's the general consensus, and what I thought myself, which is why I was surprised by the article. Did you read the link?

[Alex Cortes]

China and dept.....

China by all accounts is actually much wealthier than it lets on, simply because of how long they have devalued their currency with very little to no retaliation by the rest of the world, unless China experience hyper inflation it will not be falling into dept any time soon.  They have taken on the role that the US played during the 80s and early 90s bankrolling foreign countries as much as possible, i.e. havens for the large amounts of money that they do not want just sitting.  Yes as an economy they are still considered smaller than the US but that is quickly changing due to their massive increase in GDP.  Please take a moment to look at the numbers listed for last year when it comes to their distribution of funds throughout the world.... you will be amazed and it truly isn't an issue of spending beyond their means because they tend to only spend what they have on hand.

[Jonas Stanley]

Oops, forgot the link! Here it is...

http://www.theepochtimes.com/n2/china-news/chinese-tv-host-says-reg...