[quote=sdduuuude]I know many are bullish on China these days, but I can’t help but wonder if their long-term prognosis looks very similar to that of the former Soviet Union.
The thing about centralized planning is – if you make a mistake, you affect billions of people all at once and it doesn’t make them happy. China seems destined for some social unrest in the long term.[/quote]
Bingo on the USSR comparison. China is one vast Potemkin Village. It has a shiny, pretty facade on the outside, but behind and beneath its a total friggin’ mess.
When you add the “One Child” policy to the various other significant ills (pollution, growing discontent in the populace with unfair income distribution, social unrest, etc), you’re faced with a country that will grow old before it grows rich, unless another revolution takes place, which is well within the scope of possibility.
As many American and European companies have found out: You do business with China at your own peril.
