• MrMakabar@slrpnk.netEnglish
    1 year

    China is following the playbook of Japan, South Korea, Taiwan and similar countries. The all used window guidance to quickly grow targeted industries, which actually worked very well. All of them are wealthy countries today. However that dependence on how good the window guidance is. They take on a lot of debt to invest and it only works as long as the investment is actually smart. If not the debt increases and that causes massive problems down the line. So it creates a bubble and when it pops it hurts badly. After decades of growth those bubbles probably are nasty.

    • Pup Biru@aussie.zoneEnglish
      1 year

      imminent collapse is a fairly common theme among anything we’ve learned to engineer fairly well… if a bridge isn’t in imminent danger of collapse under its theoretical maximum loading, it used too much material and was thus over-built which means fewer bridges for people

      if an economy isn’t in imminent danger of collapse then it’s resources aren’t being used efficiently and that means fewer luxuries - and bridges - for people

  • IninewCrow@lemmy.caEnglish
    1 year

    An evil authoritarian regime that is committing human rights abuses and does not follow democratic norms … but we’ll do billions of dollars worth of trade with them and base a lot of our industries around trading with them. But they’re still evil.

    • yucandu@lemmy.world
      1 year

      Yeah that tracks, same with Saudi Arabia and Israel.

      Being aware of America’s abuses of power is good. Being contrarian and acting like everything they’ve ever said about China is a lie is bad.

  • a9cx34udP4ZZ0@lemmy.world
    1 year

    Much like the US, they can simultaneously have an economy that SHOULD collapse, but also be so ingrained in global trade that nobody is actually willing to call them to the carpet.

    If China were Greece, they’d probably have gone bankrupt multiple times already.

    • BrainInABox@lemmy.mlEnglish
      1 year

      What exactly does “should” mean in this context? Either it does it it doesn’t, and saying it “should” just sounds like saying reality is wrong for not conforming to your economic theory.

    • Cowbee [he/they]@lemmy.ml
      1 year

      To get terminology out of the way, they are building towards Communism through Socialism, ie an economy where public ownership is the principle aspect of the economy. In other words, large firms and key industries are overwhelmingly publicly owned, so the Bourgeoisie doesn’t have power over the state.

      Now that terms are out of the way, you’re correct, China does have billionaires. Even though that number is decreasing in recent years while working class purchasing power and wages are rising, that isn’t enough of an answer as to why they still exist. Billionaires represent a contradiction the CPC must resolve. But how is the best way to go about that? What time scale? The CPC’s role is to gradually resolve contradictions within Socialism in favor of the Proletariat in any inter-class dispute. They have to erase the foundations for billionaires, not the billionaires themselves.

      I recommend checking out China Has Billionaires. The important thing to understand is that contradictions exist in all systems, and it is the process of working out these contradictions that provides room for advancement.