TRUMP must be laughing in his phone calls with President XI of China. XI now has endless state bashing – much like Trump has from the majority of press – no more silk gloves – no more pretty and make it nice – but full on bias you can see tastes and relate to emotionally. Mostly about their character implying the worst of humanity is the leader when in fact the leaders are both pretty great in person and very well informed on the issues.
So Trump has told XI as he got elected for LIFE in China – that – the taxation of American goods at many many 100 x’s what American’s tax Chinese goods – IS PROTECTIONIST old policy that must fall to forward looking fair trade policies. XI agreed in Chinese typical nodding that yes President TRUMP I HEARD YOU which Trump took to mean yes we have a deal. Not so in Chinese head nodding.
I heard you Sir. That was all. Our of respect and you won at golf which is disrespectful – no one told you big guy of our culture rules? I win at golf even when playing on your course sir.
Trump nodded yes sir I heard you and still beat XI badly next day at golf again.
Now then forgetting the bad game cultural manners between world leaders the issue is that Trump has suggested if you proved to talk and not walk into new trade rules – I will take action on my end that will look like this.
I fear this list of actions because it creates for China the following problems:
- Only Debt and borrowing now 300 % over your income – will grow your economics in trade war – that will create debt contagion risk.
- The combination of recession – massive loss of jobs and employment – all will create debt defaulting cascades.
- This will create a growing number of riots in your cities which can lead to a revolution in your nation.
The riots are going on now and growing rapidly. Riots related to P2P lending between and among State Run Organizations or 1,000’s of entities that half are in loan default and dysfunctional or no longer in business but still booked as good loans.
The load defaulting is reaching 100’s of SRO’s at the first baby step into the trade war economic pool of GREAT ADJUSTMENT. All economic accounts must re-balance in time. Is the one rule no leader not Trump not XI can over rule. It is after all economics.
The imbalance created by short sighted China trade policy creates boom bust cycles. China has only had boom. A upward cycle. That cycle can continue into 2030 with a trade deal. Without a USA China Trade deal the PRC faces a new series of multi front battles from its own people due to economic contractions going on I the entire fabric of China economics – having talked the economy to death – internally – and now the debt defaulting in P2P lending is rising to 100’s of firms in just August so far.
Riots are breaking out and those disgusted with P2P insolvency for SRO’s in China are now investigating other Chinese reported Assets as frauds. In fact the anti fraud scheme in China appears to be an elite Communist at the top FRAUD in which the head of Fraud labels anyone a fraud and takes their toys away – the Fraud leadership ends up owning the assets using Fraud to tarnish reputations destroy family and opposition and accumulate assets in further consolidations. As 1% in the Communist economic now own more wealth than 99% of 1.5 billion people – say less than 1,000,000 own and control 99% of all wealth in nation which is an economic imbalance now effecting debt defaulting and a condition in digital economics we call CASCADE – say many x’s worst on the Richter scale than Force 8 – Economic CONTAGION as an earth quake that spans the world financially. CASCADE IS FASTER MORE GLOGAL AND MORE TOXIC THAN ECONOMIC CONTAGION.
CASCADE is starting ( already ) to occur in China. Leadership in Federal and State are now divided and becoming unglued ( already ). Leadership at the head of the Chinese Party is divided and fracture is widening in part to fix BLAME for the problems to losers versus winners in the party – second to fix fall guys who will suffer from problems they did not cause nor do they even understand – and third to lessen economic burden on communist winners versus whiners.
A secret top tier communist leadership meeting of winners winners and losers is taking place by the sea this month. Are you invited? Policies will be revised. The future will be discussed. What comes next will come out of that conclave of the 1% wealth manipulators in China. In the end the ruling outcomes is not the party purest – our those espousing doctrine – as with all nations with human captains steering their ship of state – the policy outcomes will be made by the wealthiest the elite the 1% capital key holders – follow the money.
Time is running short in China. Very short indeed. The wealthy failing to make a trade deal with the USA will fall into the following traps:
- Economic slow downs taking place now will reset Chinese economics into a managed downward recession spiral.
- The slow down will create a growing spiral of debt defaults that will begin to self propel into the 100 trillion of bad debt in Asia where defaulting cascade may trigger a global freeze and collapse of the entire world financial system itself – as warned by the IMF.
- Riots and a revolution from 1 – 2 are likely if leadership does not make a TRADE DEAL in TIME. Time becomes the asset no one accommodates that if used properly will permit a work out of the debt pig in the python at 300 trillion in global debts and rising – and if not the debt rot will sink China into a debt default snot the like of which has not been seen since 1929.
The problem is that crooks run the top tier of nations to secure their own wealth franchise forever – the few against the many. As the criminals believe their own lies are true and they are in fact not criminals the rest of the world in their eyes are criminals for not protecting their wealth franchise forever. Spoiled children will not share their toys.
No trade deal – world depression and the best economy remains America as others crash and collapse in the GREAT ECONOMIC REBALANCING. We rebalance with trade agreements and time or we lack time and trade agreements which over stresses the debt super debt bubble to burst starting in China.
Chinese leaders see their economics ( which are phony but they don’t see THAT ) and consider that it can never stop let alone stop like it hit a mountain at 100 mph. But it can – just like hitting a mountain. Directly.
Policy errors are unforgivable at a given level of imbalance economically. As we are reaching that imbalance stress point a revised trade agreement is required to avoid Chinese melt down and revolution. The leaders having their US Bashing by the Sea party have their mind on the wrong ball.
Everyone is trying to help China. However when the leaders who have the facts and correct data are out numbered by wealth franchise holders who wish to preserve their wealth accommodations at all cost – all costs – the overwhelming numbers of criminal leaders at the Chinese table is 1000 to 1 and the good news of a safe way way forward is never given weight sufficient to preclude Chinese economic disasters moving forward.
Trump is smiling drinking his 22nd Diet Coke tonight in his rocking chair at the card table on the White House Porch over looking the gardens. He looks at his USA Cards again. Full house Aces high. Perfect winning hand. He can see the Chinese behind XI and XI’s cards – his two two’s a two of hearts and a two of spades – nothing else as China pushes all its chips to match the USA and XI says we match YOUR CALL TRUMP.
Eventually XI knows Chinas losing hand must be exposed to the entire world. When that occurs in fact the trillion dollars that will run out of China will effect the China Super Crash – and resulting implosion of its debt super bubble. END GAME.
Trump well knows the advantage to China is TIME itself. Time is not on China’s side to delay a trade agreement. Delay is the one great cost to expensive or China to Pay – as it runs out of the only saving asset – TIME ITSELF.
Today the press bash’s Trump and the USA as if we started and keep trade war going. CHINA started the trade war by a 100th time talking and talking with zero change to improve the unfair tax of USA against almost no tax to China.
Trump cares less about China press lies. OR USA press lies for that matter. Trump has marginalized press who are ranked lower than the USA congress in America polls of citizen outrage at bias press gone bad generations of media today. Manipulation by media is failing or the first time in history as click media is out valued to spoon fed mass media – by the tens of millions we no longer watch and fully disregard bought and paid for media and news that is not longer news at all. It is mind control.
Time is passing.
The old way is on going – thou shalt screw tax upon they brother before thy brother ( or sister ) screws the new tax upon thee…….
No 11th commandment but we are all living by it…..are we not?
At the greatest risk to the world system. What do we know:
- Two trillion in capital is leaving China in 2018 alone – one trillion out entirely already – a run on the nation of China is underway.
- Plant bankruptcy and bank bankruptcy is rising in China
- Lay off’s are rising in China
- Riots are occurring in cities even with state restricted internet
- Criticism of government policy on trade war never seen before is rapidly rising into a movement nation wide
The elite 1% communist super wealthy – who control all power and who is labeled a fraud and who is not – sit at the top of the economic fraud upon the people. Their system is driven by DEBT SUPER BUBBLE FUELS that can not continue and which are now becoming impossible as policy.
As the FUEL in CHINA dries up the outcomes may include:
- Multiplle currency devaluations as the Chinese currency implodes in a debt super bomb exploding.
- Inflation like Venzeula as all Chinese who are far from stupid run – completely run – out of state currency into safe currency – dollars being most desirable. Further sinking China economics.
- Debt cascading freezes liquidity as the bank system closes and the China communist era and revolution sink into a new China revolution the outcome of which may be emperor again or democracy and open boarders and press – or something new. We’ll see.
Communist with trade deal in 2018 have TIME to grow into the future.
Communist without a trade deal in 2018 – run out of TIME and 1 -2 -3- above already now in in economic COUNTER SPIRAL to Chinese control models which are failing completely – RUN OUT OF TIME and the SYSTEM FALLS.
Core melt down.
That is what is happening today as Chinese wealth elite are busy at the sea this month reminding one another just how all powerful they truly are even as their ceremonial gowns have caught on fire while they sip tea and chat – unaware the are burning to death economically as they discuss the gardens.
China politics and China economics two distinctly separate items. We’ll see if any Chinese leaders have 20/20 reading glasses on their own economy as some of our tribe in nation does – but we lack confidence in the self delusion of the wealth in nation not creating an economic mental illness for outcomes.
Berny Dohrmann – WHAT IS GOING ON OUT THERE IS CHINA MADNESS