China will not buy the world but they are trying to buy as much as they can. With the huge manufacturing machine funded by easy state credit, cheap labour and currency manuputaion, it is the shop floor of the world. The Walmarts of the world are greedy for chinese goods. China is happy to encourage USA to live beyond its means by investing Trillion dollar US Treasury bonds.With its huge Foreign currency reserves it is trying to buy into African and Latin American strategic energy reserves. It is now constituent of G-2, no British,Franco-German, Indo-Japanese juggarnaut can stop it and only USA can challenge it now in economic and geo-polotical aspects without fearing the run of its reserve currency,should China start selling Treasury bonds incurring huge losses.
Posted on: Wed, 10 Jul 2013 07:25:30 +0000