China tells U.S. "good old days" of borrowing are over

[redsamurai]

as per this argument, 75th is right that there's still a huge amount of poverty in china. When 800 or so million peasants start wanting a piece of the action china's in real trouble. They can't just build shit and hope people show up to live there, they have to create human capital somehow just like the rest of us. Ripping off foreign technology only lasts so long. I wonder if plunkey realizes those x ray machines of his are already reverse engineered and being sold back here in the states? lol I know they do this cause that's exactly what happened to a guy i used to be friends with who's company builds tire presses. Sold a couple to a major U.S tire manufacturer and 6 months later he's wondering why they haven't bought more. Walks around the factory with some slick shill sent to bullshit him and see's all these presses that are his design but not made by him. They just took his design and put in cheap rubber and plastic parts where he was putting "titanium". You can't compete with that. It just amazes me that these companies find dealing with that kind of craftsmanship more cost beneficial than getting somethign made right and made down the street where if something goes wrong the guy who designed the fucking machines can be there within 30 minutes.

 

[Mr. dB]

Imagine the resources it would take to support a burgeoning middle class in China? They'd all want cars and big screen TVs, the oil and energy consumption numbers would be mind-numbing.

 

[mrplunkey]

Imagine the resources it would take to support a burgeoning middle class in China? They'd all want cars and big screen TVs, the oil and energy consumption numbers would be mind-numbing.

They already want cars. There are around 90M cars on their roads now. They crave satellite TV's and iPhones too.

When I was over there a few months back, I had the big idea of focusing on the upscale hospitals in second-tier cities with higher-end orthopedic implants (i.e. locking technologies, periarticular plates, Ti6Al4 titanium, etc. etc.). Guess what? They've already got it -- and from the same name brands (Synthes, Depuy, S&N, Stryker) that you'd see here in the US. This isn't cheap stuff and somebody is clearly buying it.

But the biggest sign of indulgence I saw over there was their explosive organic foods market. First of all, I suspect it's fake -- but I also believe the US-based ones are 90% bullshit too. But you wouldn't have a movement like that at all unless they at least believed they had some disposable income to waste on these types of frivolities.

 

[mrplunkey]

as per this argument, 75th is right that there's still a huge amount of poverty in china. When 800 or so million peasants start wanting a piece of the action china's in real trouble. They can't just build shit and hope people show up to live there, they have to create human capital somehow just like the rest of us. Ripping off foreign technology only lasts so long. I wonder if plunkey realizes those x ray machines of his are already reverse engineered and being sold back here in the states? lol I know they do this cause that's exactly what happened to a guy i used to be friends with who's company builds tire presses. Sold a couple to a major U.S tire manufacturer and 6 months later he's wondering why they haven't bought more. Walks around the factory with some slick shill sent to bullshit him and see's all these presses that are his design but not made by him. They just took his design and put in cheap rubber and plastic parts where he was putting "titanium". You can't compete with that. It just amazes me that these companies find dealing with that kind of craftsmanship more cost beneficial than getting somethign made right and made down the street where if something goes wrong the guy who designed the fucking machines can be there within 30 minutes.

1) Why do you think I have x-ray machines? I do very little medical capital equipment. But I do know for a fact that Chinese-made CT and MRI machines work really well. Their machine tools continue to get better and better as well (but still not as good as their German and US counterparts).

2) Lower-cost Chinese equipment continues to get better. We used to consider their molding technologies as a joke, but they are far from it. Their molding machines may not last as long or have as high of a residual value, but if you have a cost of capital that is 40% that of your American counterpart, you can sink the machine in the ocean when you are done with it.

 

[PICK3]

1you can sink the machine in the ocean when you are done with it.

wood that practice be environmentally sound

 

[mrplunkey]

wood that practice be environmentally sound

I bet the fish love it!

 

[redsamurai]

don't you still have to pay someone to pitch into the ocean? lol

but yeah, that's what they did off the indonesian coasts with radioactive equipment and that's why der be pirates again arrggghhh cause folks is salty their fisheries got fucked by that practice.

 

[PICK3]

cause folks is salty their fisheries got fucked by that practice.

ololololol!

 

[PICK3]

The reality is that China is trapped into a cycle of buying our T-bonds. No matter what any ratings agency says, no other bond market is as big or as safe.

China's not doing us a favor – Global Public Square - CNN.com Blogs

 

[mrplunkey]

The reality is that China is trapped into a cycle of buying our T-bonds. No matter what any ratings agency says, no other bond market is as big or as safe.

China's not doing us a favor – Global Public Square - CNN.com Blogs

This is most definitely true.

They need free of us, but not until they can run on their own steam. Between now and then, we are a partner of convenience.