Feb 2009
China unemployment is about 20 million
US unemploymnent is about 2.5 million (19 million houses unsold)
The ratio would then be about US:China is 1:8
Lets just say one family in US is about 4 person (only one breadwinner), hence, the number of people suffer is 10 million. But then again, the American suffers is due to over consumptions, i.e. buy 2 houses, 5 TVs, 4 ipods, 4 cars, 3 hi-fi, 4 notebooks, expensive meals, etc
Now, look at China, a family of 3 (only one child policy), it is about 60 million people suffer. These workers are average factory workers, just earning enough for their food and shelter. They do not have TVs, ipods, cars, hifi, notebooks, or expensive meals. They have to go back to their villages, perhaps to do farming. The Chinese suffers is due to over productions, they produces many TVs, ipods, cars, hifi, notebooks, etc.
MyView
From the above, we can see both sides suffer, only the Chinese suffers more. Although even without the growth in China over the last 20 yrs, 1 billion of Chinese suffers in their villages, while the other 300 million people enjoy the urban material benefits.
According to Roubini, a professor in NYU, said official write off of USD1.0 trillion and he expected to blow up to USD3.6 trillion. In short, we only seen 28% damages, there are still about 72% to go. Does that mean the deleveraging will go on for another 1-2 years?
China unemployment is about 20 million
US unemploymnent is about 2.5 million (19 million houses unsold)
The ratio would then be about US:China is 1:8
Lets just say one family in US is about 4 person (only one breadwinner), hence, the number of people suffer is 10 million. But then again, the American suffers is due to over consumptions, i.e. buy 2 houses, 5 TVs, 4 ipods, 4 cars, 3 hi-fi, 4 notebooks, expensive meals, etc
Now, look at China, a family of 3 (only one child policy), it is about 60 million people suffer. These workers are average factory workers, just earning enough for their food and shelter. They do not have TVs, ipods, cars, hifi, notebooks, or expensive meals. They have to go back to their villages, perhaps to do farming. The Chinese suffers is due to over productions, they produces many TVs, ipods, cars, hifi, notebooks, etc.
MyView
From the above, we can see both sides suffer, only the Chinese suffers more. Although even without the growth in China over the last 20 yrs, 1 billion of Chinese suffers in their villages, while the other 300 million people enjoy the urban material benefits.
According to Roubini, a professor in NYU, said official write off of USD1.0 trillion and he expected to blow up to USD3.6 trillion. In short, we only seen 28% damages, there are still about 72% to go. Does that mean the deleveraging will go on for another 1-2 years?
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