Insecurity riding high within world’s second largest economy

[gzz]

Instability and pollution in China will keep the desire of wealthy Chinese to store their wealth in clean and stable USA and Canada.

[FlyerInHi]

[quote=gzz]Instability and pollution in China will keep the desire of wealthy Chinese to store their wealth in clean and stable USA and Canada.[/quote]

Actually, I think it is more that:
1) the rising upper middle class around the world has more wealth.
$300k and more for real estate (apartments) in major cities is normal. That makes the USA feel like a bargain.
2) kids need to learn English for business and to become world citizens. North American English is standard.
3) US education is more prestigious. Like a “brand name” purchase.

So basically, our real estate and education are “exports” that earn us hard currency.

Did you see the elephant curve? Globalization benefited hundreds of millions of people in the developed world who now own wealth.
http://www.bbc.co.uk/news/amp/37542494

[ocrenter]

[quote=FlyerInHi][quote=ocrenter]
Exactly.
[/quote]

Latest news. China is populating the disputed islands.
I wonder what the Taiwanese and Vietnamese press are saying.

Will there be a statement from Trump’s State Department or intelligence agencies? Probably not… maybe the China analysts have been fired due to budget cuts.
Will Trump himself say something?

https://www.washingtonpost.com/news/worldviews/wp/2017/07/24/on-a-disputed-china-south-sea-island-beijing-unveils-a-high-tech-cinema/?hpid=hp_hp-more-top-stories_chinacinema-140p%3Ahomepage%2Fstory&utm_term=.9a19aaf8b51e

I’m sure the Russians and Chinese are rejoicing at the distinction in D.C.
Notice that Putin and Xi are very tight. Putin was in Beijing next to Xi In Beijing at Belt and Road Forum that the major western leaders snubbed.[/quote]

Populating man-made islands with military personnel and civilian support personnel does not change the legal status and lack of exclusive economic zone privileges typically conveyed for real islands.

These man-made islands are akin to stantionary aircraft carriers. The US can park one right next to it and the Chinese would not be able to do anything.

[FlyerInHi]

[quote=ocrenter]
These man-made islands are akin to stantionary aircraft carriers. The US can park one right next to it and the Chinese would not be able to do anything.[/quote]

The US has not done anything. So win for China.

But if the US were to park an aircraft carrier there, China could just bide its time, iddle the island with minimal staff and move on to something else. The US would be stuck there spending vast resources. And if/when we leave, China would return. Egg on our faces.

China can operate from land, but the US must project power over the ocean. The resources assymetry is hugely is favor of China which explains why the US has done nothing.

[ocrenter]

[quote=FlyerInHi][quote=ocrenter]
These man-made islands are akin to stantionary aircraft carriers. The US can park one right next to it and the Chinese would not be able to do anything.[/quote]

The US has not done anything. So win for China.

But if the US were to park an aircraft carrier there, China could just bide its time, iddle the island with minimal staff and move on to something else. The US would be stuck there spending vast resources. And if/when we leave, China would return. Egg on our faces.

China can operate from land, but the US must project power over the ocean. The resources assymetry is hugely is favor of China which explains why the US has done nothing.[/quote]

You make it sound like building man made islands in the middle of an ocean hundreds of miles from your nearest territory is easy and cheap.

And for what purpose? No international body would recognize it, they can’t gain EEZ benefit out of it. This is basically expensive squatting in the middle of the ocean.

[FlyerInHi]

China is testing US political will and maritime dominance. China wants to assert its own Monroe Doctrine in Asia.

The US needs to help vietnam and the Philippines with their territorial claims. But right now in those countries the factions who favor China are dominant. What can we do to help? Obama tried with TPP and by making the island building public just before his Asia summit. It was published by the Taiwanese press, then by Fox News. But the satellite pic was US.

[gzz]

Flyer all that good stuff about the USA is true. But we don’t get rich Germans buying here for those reasons. China has plenty of cheap condos in its secondary cities with 1 to 4 million people.

[FlyerInHi]

[quote=gzz] But we don’t get rich Germans buying here for those reasons.[/quote]

I believe that Asians are very tiger about education. They think US education is a must. And they like American suburbs with the car culture, something they didn’t have growing up.

BTW, lots of Asians who are smart but poorer go to Germany for free university education and to learn great German engineering and quality. Germany is very encouraging of that.

I have Taiwanese friends who opened a small office in LA so their kids could go to school. They say the lifestyle driving kids around in SUV is to their liking…. but after kids they will go back to China and Taiwan where they make the real money.

Latinos also shelter money in USA. But we notice them less because they are not tiger.

[FlyerInHi]

Another article on China deploying its economic power. While we fight Iran by proxy, China is thinking commerce. Maybe we are on a collision course.

What I find amazing about China is the small businessmen who spread across Russia, central Asia, Africa…. across the world bringing their business acumen with them

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