china....again
4 responses | 0 likes
Started by mcfarm - Sept. 7, 2019, 8:19 p.m.

https://twitter.com/firstsquawk/status/1170269037416173568?s=   maybe Trump should tell them to kiss off until they finally sign in blood

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By wglassfo - Sept. 8, 2019, 9:20 a.m.
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Pork prices increase daily

Consumers buy ducks

Duck farmers become instant millionaires

[Would that be in Yuan currency???]

No matter must have had a lot of ducks to sell to become millionaires

Then they buy Kenyan donkeys. We would not eat donkey but china considers donkey a choice food source. Kenyan donkeys in danger of becoming extinct Brazil is just planting soybeans. Good chance SA mostly sold out of beans. Brazil not going to expand bean acreage very much. Has Brazil hit the wall of economic bean expansion

China says 1/3 of hogs have been culled with no sign of disease stopping. If they say 1/3 culled you can bet the number is higher. Then army worm attacks domestic soybean production.

Consumers on verge of giant unrest. People need protein in diet. Meat and tofu.  China has bought all available supplies. 1.4 bln hungry souls need a lot of food.

Show me the money 1st and how much

By cliff-e - Sept. 8, 2019, 5:30 p.m.
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By mcfarm - Sept. 8, 2019, 8 p.m.
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cliff, why do you continue to post these links. They have debunked by trade facts over and over. It would save everybody the hassle and time if you would repeat a particular anti Trump line.

By wglassfo - Sept. 8, 2019, 9:17 p.m.
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China has several problems

I will only dwell on a few from personal observation

1st of all is the central planner system severely constricts personal innovation and small business. There are very few ways to build wealth at the family level. One way is to buy an apartment and then hope it increases in value. But that is just paper wealth, as you have to live some where. Credit is hard to obtain to buy a second and thus become a holder of real estate and collect rent etc as a way to build wealth

Many families operate side walk stalls selling trinkets but the profit margin is small and family members must operate in shifts as the daily wage is the primary house hold income. In china everybody is assigned a job slot according to education, thus they do have the advantage of the best and brightest in top technology, business etc. job slots, but  not everybody wants to be told what their life work will be. It is a wonder they have advanced as far and fast as they have, given the personal restrictions, the brightest face in doing somebody else wishes for a life time

As for agriculture they face some problems. The average land holding looks to me to be approx. 5 acres/family, at least in the south.. Thus they do a lot of manual labour and use small scale hand powered equipment. Those large scale  feed mills and factory animal production facilities are all state owned, thus one wonders about the quality of animal husbandry. The smaller land holdings will continue as the population is so great there is no room for more city jobs. The usual arrangement is one male and wife stay on the farm to support and provide work requirements to support the family and parents.  That's  why male children were valued as the family needed a male to support the family unit

As for improved farming methods, they already squezze every bit of food out of available land. They even farm the clover leaf exchange land, we see in our country, right up to the pavement, along road side ditches and every nook and cranny that an edible plant will grow. And they tend it with the utmost care, growing very healthy plants and crops

The problem is a lack of arable land to support the population, They have not figured out how to grow crops in arid soils, with out water, which [water] is limited in arid country

To be brutually honest, given the challenges they face with such a large population, americians, Canadians or any western culture could not likely do as good as they do

So long as they continue with good central planners, their system is probably the best given their circumstances.

Japan is the only country that even comes close to providing a basic living for it's citizens, with limited resourses and Japan is facing problems, with an ageing population. Somebody has to be willing to do the work required to support the non productive elderly, in any country.

IMHO the important part of what a country needs is space to grow food and other necessary resources for the population

Then a willingness to exploit those resources in a profit driven economy

The Asian rim countries greatest resource is an excess of cheap labour.

You don't need to grow your food if you can do something to pay for food. Thus world trade, and a domestic economy producing something of value is so important, to any country with limited food production ability and excess population. 

That is why china is trying to form an alliance with Russia and India, plus Africa and assorted other Asian countries. This would give them some food security and a domestic trade market..

Russia and the Asian rim including Vietnam etc contain approx. 75% of the world population, depending how far west you go, as a trading block... If Russia and Africa could grow much of the food, plus Asia itself, then the population becomes a sort of domestic trade block.

One problem so far, among many, is an agreement on currency for trade settlements. Russsia, china and India currently are buying and hold vast stores of wealth in gold

The hope is to have a gold backed currency, but that is yrs from reality. So far, nobody trusts any other currency other than the USD

So china is working on the long game while Trump is looking at the short game. 2020 isn't doing Trump any favours.

Both have problems and IMHO both are willing to risk a world recession. A depression would be even worse.

 If this continues, I don't rule anything out.