Well, call me skeptical, but I haven’t been in China, only in India, so I might not know enough. Obviously, Jim Rogers thinks they are the greatest economy of the future, since he even teaches his daughter Chinese. What worries me is this hype connected with China. Sure they produce real things, but nothing grows to the moon that fast. They had phenomenal growth and it might need a pause. A stop of the frenzy in the US might do it to them. Readjust some of their mal-investments. This costs a lot of money. It reminds me a lot of Silicon Valley. Yeah it was the greatest, and then suddenly all buildings and freeways were empty. I would never invest from a value stand-point in something that already has gone that far, and where everyone talks about it. It could, however, happen that they have a stumble, and after that they continue as the winner.
I think you should research the 1921 recession. It was the same with the US and Europe, where Europe was sucking up debt, and the US was providing it, and when it stopped the US went into a severe recession. They recovered very quickly though. jepsd knows more about it.
