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RE: China’s Economy Is Not Crashing, It’s Worse Than That

in #china6 years ago

This is not a CRASH this is what you call a COLLAPSE , thank you so much for the informative yet entertaining content (:

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Would not a collapse be a negative GDP growth rate?

Any economy can be viewed as a thriving economy ( or High GDP rating) through manipulation and fake assets

Posted using Partiko iOS

This doesn't answer my question...

I’m sorry sir , but I don’t believe I was answering your question more a statement of the obvious, but you’re correct I will rephrase my statement to “Collapse in near future “ to be politically correct

Posted using Partiko iOS

I’m sorry sir

No need to apologize

I will rephrase my statement to “Collapse in near future “ to be politically correct

You don't have to do that either. I was just asking...

Depends on debt levels and cost of servicing debt. Growth falling below a certain amount can cause a crash if debt was taken on in the expectation of higher growth.

Growth falling below a certain amount can cause a crash if debt was taken on in the expectation of higher growth.

I see, I did not take into consideration excessive debt driven growth.

A loss of trust in currency and a drop in the value would also cause a collapse, but the GDP figure may go up as the value (worth) of the currency is less. (So you'd be moving "more" money around, simply because the value has dropped so more is required to purchase stuff) This is probably why China and Russia are buying up a lot of gold and beginning to trade oil / gas outside of the pretro$ as the dollar is ready to fall off a cliff.

I see, thank you for the explanation.

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