[HOLY S**T!] China's economic meltdown?????

[Chief2ndzOnly!]

I figure this thread will keep ya'll busy this morning.

It seems when debating about the financial status of one country to another, almost without fail I see someone say that the U.S. will be owned by China. Or this statement is always a funny one to read "You Yanks/Americans better brush up on your Chinese."

Well not so fast buddy roe. Not only has Europe received a economic kick in the nuts, but apparently China is getting the very same proverbial hammer to the nut sack, know as the economic meltdown. Yep that's right China's ass is in a sling too. A 10.7 trillion yuan sling. Read below and discuss.

Hong Kong (CNN) - Fears that China could soon be facing its own Lehman-style banking meltdown are being fueled by a National Audit Office report which found 531 billion yuan (US$84 billion) worth of irregularities in local government debt.

According to the Chinese government website (www.gov.cn), the audit found 10.7 trillion yuan of local government debt at the end of 2010, a result of easy loans made possible by the government’s 2008-2009 stimulus injection.

Most of the money, say analysts, has found its way into the construction industry, creating entire cities, complete with apartments and offices that remain empty and unsold.

Many companies also have unpaid inventories, according to the government audit, and have little or no oversight of accounts.


“The audit discovered that 1033 such companies have problems such as false-financing, the registered capital being unpaid-in, illegal provision of funds and the withdrawing of them by local governments and departments, involving a sum of 244.15 billion yuan,” the audit said in its findings.

“As the investment of debt funds is mainly directed by these companies at projects serving public welfare or quasi-public welfare whose recovery of funds takes a fairly long time, their profit-yielding capabilities are rather weak.

“A total of 1734, or 26.37%, are loss-making companies.”

Stimulus money has also made it easy for provinces to get involved in massive infrastructure projects, such as high-speed railways, remote airports and even port projects that remain largely unused, analysts say.

Larry Lang, professor of finance at the Chinese University of Hong Kong, was reported by The Epoch Times as saying that China’s economy is on the “brink of bankruptcy” and that “every province is a Greece.”

The remarks were made in a lecture by Lang in Shenyang City in northern China’s Liaoning Province and reported after they were posted on YouTube.

In a controversial series of claims, Lang said that overall debt in China was as much as 36 trillion yuan (US$5.68 trillion), official inflation figures of 6.2% were as high as 16%, domestic consumption represented only 30% of economic activity and that there was “serious excess capacity.” He added that despite government headline figures of 9% growth in GDP, production had actually shrunk in China.

He also said China had one of the highest overall tax rates in the world and that Chinese businesses were paying as much 70% of their earnings in direct and indirect taxes.

“Once the economic tsunami starts, the regime will lose credibility, and China will become the poorest country in the world,” Lang concluded in the lecture.

http://business.blogs.cnn.com/2012/0...int/?hpt=hp_c2

[Grand Champ]

Damn, China.. Never would've guessed.

''Every province is a greece'' Wonder what will happen when the chinese gets desperate and ask America for all it trillion of dollars back and america ain't got the money to pay

[Flawless*]

Blah Blah Blah,

Many have been predicting the collapse of China for some time now and it’s getting quite tedious. Chinese government has handled the economy well and China will continue to grow strong and overtake USA as the biggest economy in the world around 2016. All this claims are unproven. Also 86 billion is nothing really with the size of the Chinese economy.

[D.I.E.S.E.L]

Originally Posted by Grand Champ

Damn, China.. Never would've guessed.

''Every province is a greece'' Wonder what will happen when the chinese gets desperate and ask America for all it trillion of dollars back and america ain't got the money to pay

What'll happen is both Superpowers jack Denmark and those sweet Scandinavian countries of everything they've got.

[Grand Champ]

Originally Posted by D.I.E.S.E.L

What'll happen is both Superpowers jack Denmark and those sweet Scandinavian countries of everything they've got.

LOL!
Meh, East and West will be too busy flexing its muscles while we gain all the benefits..!

Worst case scenario we just sell out on blond swedish skanks, everyone will forget they hate us in no time

[Tim Horton]

Originally Posted by Grand Champ

Worst case scenario we just sell out on blond swedish skanks, everyone will forget they hate us in no time

Kessler? Andre Ward already owns him....

[davros2010]

It is true that there are some problems in the Chinese economy but there are problems in any economy. I remember watching some programe about China recently and there were a lot of failed construction projects out there but i dont think China will collapse but i suppose you never know look at Japan. I hear India is having economic problems to.

[Grand Champ]

Originally Posted by Timothy Horton

Kessler? Andre Ward already owns him....

That's kinda random Timmy

you ever had a swedish blond suck you dry?

[PlayerKiller]

Those figures are in Yuan. Google tells me one Yuan is 0.15 dollars.

America is in 15 trillion debt, it is in debt 3 times worse than any other country. Americans are unhappy, loads are jobless and thy can't even afford bullets this new year.

America's debt will get worse and worse, escalating a lot every year.

[New England]

Originally Posted by ChristianBale

Those figures are in Yuan. Google tells me one Yuan is 0.15 dollars.

America is in 15 trillion debt, it is in debt 3 times worse than any other country. Americans are unhappy, loads are jobless and thy can't even afford bullets this new year.

America's debt will get worse and worse, escalating a lot every year.

unemployment here is between 9.5 and ten percent right now i believe

very high, certainly. and i'd say it's even higher among young people.


spain has an unemployment rate in the 20's

among young working people the rate of unemployment is in the 50's (i'm guessing that statistic counts people over 18 or so and into their early 20's)




personally i think the nature of our economic downturn as a whole this time around is due in large part to a shortage of resources

there are a ****load of people on the planet and we cant deal with it right now. i'm not saying we couldn't find a way. i'm saying our current economies cant sustain our consumption

not even close.


people are going to start to run out of food, energy, and clean drinking water and then you'll see the wars starting. 20-30 years from now perhaps.

that's my honest take.


i wouldnt call americans responsible for all of our planet's our problems
american style living certainly doesn't help, but it's certainly no longer uniquely american

all countries with serious economic power operated excessively and have incurred debt
that's not a phenomenon that is uniquely american.