Chinese wealth could evaporate with a real estate crash. They took the broken window theory to a new level. Instead of breaking windows to fix them, they just kept making more windows.
Posted Using LeoFinance Beta
You are viewing a single comment's thread from:
I still think they could make an aggressive act of war in the coming months. They've been building up their military and technology. Plus, the whole Covid thing. Not saying it was intentional but a lot was learned about how the world reacts and what can and can't be done to stop/spread things. It just really feels like they have nefarious plans going on in the background. I hope I'm wrong...
Posted Using LeoFinance Beta
As long as things remain status quo, nothing will happen between USA and PRC. A real estate crash like what is being predicted would be the trigger for war since it would distract the populations from the mistakes made by those in power on both sides of the ocean.
Posted Using LeoFinance Beta
I think China going to war would end up in a quick demise. They do not have the Navy to compete with Japan let alone the US.
It is like the Soviet Union. The US saw all the hardware and vastly overestimated the capabilities. What was missed is the fact the soldiers were drunk. That is what happens when you two main products are guns and Vodka. LOL
Posted Using LeoFinance Beta
"War" with China will simply be the west getting involved when they decide to annex Taiwan.
Who knows what this would actually look like in reality though.
Posted Using LeoFinance Beta
The nuclear-powered aircraft carrier is the crown jewel of the United States Navy. The air group hosted by the aircraft carrier makes the ship lethal. As long as the aircraft carrier stays intact, the US can maintain is power projection missions and its full-spectrum dominance.
"As long as the aircraft carrier stays intact...."
If the hypersonic missiles developed by China and Russia are the real deal, a small number of hypersonic missiles (or even just one) will shred an aircraft carrier to scrap metal with no way to defend against them. If one of these hypersonic missiles ever gets used as advertised, the US can kiss power projection good bye, and its days of full-spectrum dominance become numbered.
During the last years of the Cold War, the USSR had advantages in hardware, but they were negated by low morale and a focused adversary. These daya, the USA has advantages in hardware, but they are also being negated by low morale caused by different reasons.
Even if China doesn't have the assets to match the United States in a naval conflict (or any other conflict), that doesn't mean that victory is assured by the United States. Should the United States fail against China-- and it's a possibility which cannot be dismissed-- then we will be witnessing the start of the end of Dollar Hegemony. If USD goes, that's "Good Night, Irene" for the United States as a world power on any level.
Posted Using LeoFinance Beta
I'm not sure the broken windows theory works that way, but should a crash of that magnitude occur not even China can stop the delayed increase in crime that could result from it. At least Xi looks good with that yellow umbrella.
Posted Using LeoFinance Beta
From an economic perspective it does.
Posted Using LeoFinance Beta
I always thought the broken windows theory was the idea that if problems aren't fixed at the earliest opportunity then briiger problems follow which are more difficult to fix; that it's how societal decay begins. Wouldn't that be true from an economics perspective as well?
Posted Using LeoFinance Beta
I wonder what the trickle down effects of this will be when things crash. In a way, even our real estate market has a lot of speculation during the lock downs.
Posted Using LeoFinance Beta