>>14745>Capitalism is defined by crisis every ten years or so>If the Chinese continue to have no crisis then by definition it is not capitalismChina never had much trouble since Deng's liberalization because they make big bucks from international trade, their trade balance has (almost) always been positive so far.
But Chinese growth is also predicated on a large amount of debt (see Evergrande) that is expected to be reimbursed, and unlike the US, they don't control the world's reserve currency, on the contrary the renminbi is soft-pegged to the USD for devaluation purposes, in order for the US domestic market to absorb a lot of the glut of Chinese manufactured goods circulating on the world market.
In short, the Chinese have been unironically developing the productive forces using supply-side economics, but a different kind than Reagan, focused on gaining the upper hand in manufacturing.
It was the whole philosophy behind Deng's catchphrase, more or less "让一部分人先富起来", which was incorrectly translated as "To get rich is glorious", but more accurately means "Let some people get rich first" — if you want the real speech, take a quick look at
http://keywords.china.org.cn/2021-01/11/content_77102316.html.
They did a great job at this, but the problem is that now, worldwide recession is happening — and crises have long-lasting effects, remember 2008, it's the main historical reason why you feel so miserable all day!
What I expect is the following:
>1) Western consumers absorbing the glut won't be able to afford as many Chinese goods as before, due to economic depression.Post too long. Click here to view the full text.