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A Stunning Development In China-US Wage Parity

GIH:  Chinese companies are now considering manufacturing in the US due to competitive wage costs! In just over an hour Apple will report earnings which are expected to be a sole silver lining among the otherwise dreary retail landscape of the fourth quarter. However, those curious for an advance glimpse of what AAPL’s margins may […]

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China’s First Default Is Coming: Here’s What To Expect

GIH: China’s economy is experiencing it’s first capitalist growth pains.  With the rapid expansion of the middle class and a growing financial sector, including their own shadow / private banking sector, it’s not a surprise that a financial company issuing debt is on the precipice of default, coinciding with the Chinese new year. As we […]

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Bank of America Is Actively Preparing For The Chinese January 31 Trust Default

GIH: China’s economy has been overheating, and with a growing financial sector.  Some indications point to similarities between events in China now and the US in 2007.  A slowdown or credit crisis in China would also impact Australia, the region, and ultimately the entire world economy. Bank of America Is Actively Preparing For The Chinese […]

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How to think Chinese – Developing a long term view

Before we begin we need to clear a few biases.  People confuse culture, politics, and economy.  For example, there is confusion about the differences between socialism and communism; many people think they are the same.  Also people equate communism with USSR style communism, which was less communist than your local community.  The most communist organization […]

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The real economic truth about US China monetary ties

This analysis is about debunking the myth that China has some power over the US because of it’s large debt holdings.  Let’s just say this is a myth created by propaganda or lack of understanding.  It’s nonsense. Another myth is that China is a currency manipulator.  The Yuan is pegged to the US Dollar (although […]

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