I have said repeatedly in many of my previous writings on this subject that we need to take our eyes off the Western economic models and turn our gaze towards China. It is not coincidental that former economic powers such as the United States of America and several European Nations are now crumbling. This is the consequence of taking a short cut approach to economic growth. America used to be a manufacturing giant, and long before China came on the scene the world consumed American made products, and where doing so until Americans turned their gaze from manufacturing and unto the financial markets and “Wall Street” took over from “Main Street”.
Greedy and unscrupulous bankers realized that they could make Trillions of dollars speculating and manipulating stocks and therefore did not see the need to invest in manufacturing or in new technology.
The bursting of the dot com bubble in early 2000 is a prime example of this new economic reality that continued right up to the bursting of the real estate bubble in 2008 and beyond. Nothing has changed since then either, it’s as if the western democracies are deliberately trying to destroy their currencies and their ailing economies because the proverbial definition of a lunatic is somebody who “keeps doing the same thing over and over again and each time expecting a different result”. Whilst the western democracies were busy speculating and gambling on the stock market china was busy manufacturing “real” products and selling them to the rest of the world. The Chinese also kept their currency weak so as to make their products affordable to the global economy. This in a nutshell was how China dominated the global manufacturing sector.
It may have taken China many years to become the world economic super power but at least they have now achieved it, and their economy is built on the collective labours of micro-industrialists. China has dollar reserves in the Trillions where as America and most European nations are in debt up to their eye balls. America cannot possibly pay back its debts,
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