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China and the United States, whose economy would collapse?

by Huang Weidong
2009-08-11

In today’s world, a dominance of the United States, we are inevitably dealing with Americans. “Rivals and emerge victorious in every battle” to understand themselves and their opponents strength, is very important. “The world is flat in nature, if not since the collapse, the elimination of no one who can not.” (Appendix 1) Mr. Zhang Wenmu the point of view is justified. Sixty years ago, we just set up the Republic, but also nothing we can in North Korea resisted US-led United Nations forces, the sixties of last century, our economy is still weak, insignificant compared with the West, we will So the two tyrants, the ability to resist the United States. Today, we are every day in the mainstream media propaganda and the development of the so-called achievements of reproduction age, our steel industry is already far beyond the United States, our economic strength is far more than the founding of the early best. With nuclear weapons, the West will never be fully grasped in the absence of eradication of China’s nuclear arsenal before the choice of a military confrontation. As long as China remain vigilant, worried that the U.S. invasion force is no longer exists. However, the U.S. is no longer any time to carry out economic and cultural moment of aggression, in a vain attempt to split China. How to deal with the United States campaign, we need to fully understand the strength of their own and the United States. U.S. military strength is not terrible, the Mao Zedong era has already proved this point. Mr. Zhang Wenmu for this period of history on a very good (Appendix 2), this paper analyzes the economic front.

One of the reasons the United States is a strong U.S. economy is strong. 30 years ago, we go out of the country’s elite, deeply impressed the economic success of the United States. So we have chosen to reform and opening up, learning experiences in economic development of Western countries. 30 years ago, after the media publicity, it seems that the effectiveness of our forward-zhuo. However, the fact is that, compared with the previous 30 years to an important rate of physical development, our economic development rate decreased significantly, food, energy, iron and steel dropped by nearly half, etc. (Appendix 5). Of course, in the ever-expanding, declining purchasing power of the RMB to calculate its growth rate is beyond history. Moreover, we produced a large amount of wealth for export, by 2008, exports have accounted for the wealth of the wealth produced by 40 percent, they turned into a U.S. dollar can not be used. Elite to invest in the United States, by the Americans in a financial crisis, investment businesses going into bankruptcy or nationalization, on the part of do not admit, in part, through the continuous depreciation of U.S. dollars, so that the U.S. dollar in our hands the wealth represented by the gradual disappearance of . Over the past decade, ordinary people to pressure on the three big mountains, no improvement in basic living standards. During this period, the greatest achievement is probably soon elite gather the wealth of the wealthy, 0.4% of the elite 70 percent share of wealth, the elite-controlled media, for singing the praises of this great reform. The previous 30 years, we have the wealth produced, the more equitable distribution to all people, our people will be the average life expectancy from 35 years of age increased to 68 years. Growth from the average life expectancy of view, these 30 years, we have almost fixed in situ, which is far behind countries such as Cuba. U.S. financial crisis, we face the economic development of unprecedented difficulties, it is very much doubt that our reform and opening up, the harvest of wealth, or fleas?

Reflect the economic strength of the United States, where? Today, on behalf of the U.S. economic strength of the manufacturing sector accounted for only U.S. GDP13%, half of them or arms manufacturers (Appendix 11). Judging from the kind of wealth production, the United States has significantly lagged behind China. The American people daily consumer goods mainly from China, had the Americans not to try Chinese goods a year, they found very difficult (Appendix 8). Large value of the U.S. (GDP), mostly virtual. China’s exports to the United States one dollar of goods, to the hands of the American people, it becomes dozens of U.S. dollars, the difference will become the United States GDP. Therefore, after the U.S. financial crisis, many people believe that the U.S. will not be long before the collapse of the economy.

However, the United States firmly control the production of key commodities. In food production, the United States less than three hundred million people, the production of food each year than the 1.3 billion Chinese only less 16% (in 2007 490 million tons to 4.1 tons), is the world’s largest grain exporter. The United States each year to subsidize the United States 10,000 U.S. dollars per capita of farmers, through subsidies destroy the Third World countries, many farmers bankrupt Third World countries, have to rely on the U.S. food supply. Last year, the United States a little speculation, the world food supply, forced many Third World countries have to bow my head to follow the command of the United States (Appendix 10). U.S. to launch food war, U.S. hegemony has become one of the key elements (Appendix 7). China’s edible oil market by the U.S. occupation, used in the production of the main raw material for edible oil, soybeans, mainly from the United States, domestic consumption accounted for more than 70%. Because after the soybean oil cake is the main source of feed, China’s meat production is also controlled by the United States. Under the control of the U.S. capital in recent years, the two products in the domestic prices continue to beat, waiting for the United States defeated the capitalists of our remaining domestic enterprises, so that we can grab excess profits.

In the energy supply side, the United States by force tightly control the world’s major oil-producing countries, through capital controls a lot of oil production, grab most of the oil production profits. In the collapse of the Soviet Union before the Soviet Union as a result of oil exports is the key to the economic development of the Soviet Union, in order to combat the Soviet Union, the United States down oil prices dealt a heavy blow to the Soviet economy; after the collapse of the Soviet Union, the United States continue to raise oil prices, access to excess profits, at the same time by large expenditures in the oil field in China. A large number of oil resources in the United States, but a major importer of oil, oil-producing countries through the use of force to force the U.S. dollar clearing, which can be free of oil.

The United States also produced dollars, investing around the world, control of national economies. At the same time, financial markets, so that the hands of the U.S. States run in a virtual space, without the use of. Inflation as a result of the U.S. policy, the number of countries in the hands of U.S. dollar although the increase in wealth represented has been declining.

Last year, the United States triggered the so-called financial crisis,did not admit a large number of countries in the hands of U.S. debt. First from the hands of large U.S. dollar by the purchase of material wealth countries, financial crisis erupted, the United States for some enterprises have closed down and the hands of the creditor countries have become waste paper, so the United States succeeded in looting the wealth of all countries. As the United States has the world’s most powerful force, States can not be helped. Therefore, the so-called financial crisis, the crisis in the United States, but the loss of wealth of the world crisis is the outcome of China’s opening up the disappearance of the so-called crisis. That save dollars, save China’s fallacy is not ignorance, that is, with ulterior motives. As early as last year I have been on the analysis (Appendix 12).

U.S. financial crisis, the U.S. unemployment rate increased, the people to reduce spending, purchasing power declined, and the world, particularly China’s supply capacity is still very obvious oversupply, declining demand for a variety of materials, excess capacity, bulk materials, such as oil, ores, such as speculation difficult to maintain high prices, and the actual short-term deflation, all kinds of commodity prices down. The closure of a large number of domestic export enterprises, a large number of workers lost their jobs, purchasing power has dropped all the way, how will lead to a substantial devaluation of the dollar collapse?

The only possibility of the collapse of U.S. dollars in China to stop exports, while China’s use of short-term dollar markets in the United States a large number of procurement, the people free of charge to domestic use, while the United States to refrain from interference. This is impossible, the elite will never do so, this would lead to U.S. military intervention. Britons have been comments in the article, China’s massive sell-off if the United States Treasury, the United States may declare that China is a hostile act, the right to take hostile measures, including confiscation of Chinese holdings of U.S. Treasury bonds (Appendix 6). Therefore, this led to the collapse of the dollar is unlikely to happen.

Even if the future, a large number of the closure of the factory production line corrosion can not be used, at the same time countries such as China or the United States to substantially increase the income of a large number of people to make the world a significant increase in the purchasing power of the short term, which may lead to a short period of tight supply, but, as a result of this productivity highly developed, but also the ability to quickly increase the supply, the occurrence of hyper-inflation, especially the United States firmly leading food and energy supply, the possibility of the collapse of the dollar is almost non-existent.

Only food supply problems, and the hands of ordinary people around the world have enough dollars or enough purchasing power, will lead to the collapse of grain prices, leading to the collapse of U.S. dollars. Although the U.S. is now a lot of the world, but concentrated in the hands of a small number of people, concentrated in the United States a virtual financial market, the world’s population more than 80% of the ordinary people of modest income, the lower the purchasing power. Is unlikely to result in crisis and the collapse of U.S. dollars.

A lot of people think that bilk the United States financial crisis, people get a clear understanding of the world after the United States in real terms, the U.S. dollar will result in credit problems, will lead to dollar crisis. However, the United States control of the elite and the media in many countries, these elites will be the fate of their own closely linked with the United States, they follow the United States, it is also supported by the United States, also seized a large number of personal wealth, even if they will realize that whether or not willing to go back, but also a question mark. Moreover, they prefer to believe that the United States, they were reluctant to rely on the people. China’s elite are also efforts to increase export subsidies to increase the dollars, 2 quarters of this year and an increase of 178 billion U.S. dollars (Appendix 9).

However, the continuous depreciation of the U.S. dollar will, it is the United States has done, 100 years ago, 10 billion U.S. dollars, if we are to preserve to the present, the purchasing power of even 100 years ago, the purchasing power of less than 1 percent. 10 billion U.S. dollars will be saved for 100 years, of which 9.9 billion U.S. dollars of the wealth represented by the United States took in our hands the one hundred million U.S. dollars only. 40 years ago, is the ounce price of gold (equivalent to 31 grams) 30-35 dollars, it is 1000 U.S. dollars. 40 years ago, we use 10 billion U.S. dollars for about 300 million ounces of gold, but for now only 010 million ounces of gold. Therefore, if we are holding U.S. dollars, will be plundered by the United States. The United States the use of U.S. plundering the wealth around the world. We have an independent economic development. U.S. dollars to change the current use of plundering the world, but also the needs of the Chinese people stand up, the establishment of China-led world economy.

For our economic strength, although this 30 years, compared to the first 30 years, with a growth rate lower, but after 30 years of growth, or more than 30 years ago with a greater economy of scale. Our production capacity has been ranked the highest in the world, and some key commodities, such as iron and steel production, lead in the international arena. Steel is a key resource for the war, but also the key to large-scale production of industrial goods and materials. Is the first 30 years of restricted economic development, one of the key products. Of a country it is important that material wealth is food, energy and steel. Food is the basis of our survival, our energy and iron and steel in a large food production but also to services. It is reported that 40% of U.S. energy expenditures for the agricultural services. Modern industrial production, the use of machinery to replace human production, production and high efficiency. Most machines are manufactured using steel, not steel, there will be no modernization. Drive the machine work in the energy, we use energy, such as oil, coal and electric power production to drive the machine work, no energy, machinery has become a pile of scrap metal. However, the past 30 years, our rate of decline in food self-sufficiency of our energy imports has become the world’s second, and the United States is different from most of our oil comes from the United States under the control of oil fields, its large number of means of transport is also controlled by the United States, energy and very prominent economic security.

The domestic economy itself by the US-led Western countries to control. Most of our industry by foreign control, we have the gradual disintegration of the technical system, and now we are producing goods for Western factories. Technology from the West, the key equipment from the West, the key components of many products also comes from the West. There are a lot of corporate assets belongs to the western capitalists. 40% of product markets is also Western countries, the majority of the fruits of their labor by Western capitalists away from hard labor in exchange for that dollar, but also can not be used because people have low incomes, there are no purchasing power, even if the imported goods, but also no one to buy and into the backlog of waste. For U.S. exports, the people in addition to providing free labor, nothing. Our so-called economic development, is to keep the meager resources of the domestic export processing, while the pollution of their environment, have no longer be able to continue.

Wealth is created by workers. The quality of workers is one of the key factors. Compared with the beginning of the founding of the PRC, the quality of our people has been greatly improved. Nation-building, our people are sick man of East Asia, deprivation, the average life expectancy is only 35 years old, 80 percent are illiterate, to master modern science and technology, very little knowledge. On this basis, the development of modern industry, it is very difficult. We were unable to develop the leadership of a group of illiterate mechanization and automation of modern industrial production. With modern knowledge workers is one of the keys to economic development. Moreover, at that time, we are also affected by the threat of foreign aggression and strength, our limited technical staff, but also for the defense industry. Therefore, at that time, we have universal education, while the use of limited technical talent, focus on the development of heavy industries, large industrial machinery for the production of preparatory work, including steel, energy and machine tools – machine tools (machine tool is used in the production of mechanized production equipment tool) production. In the civil context, we mainly address the industrialization of agriculture-related issues, to resolve the chemical fertilizer industry, agricultural machinery, chemical fiber industry, focus on resolving the issue of people dressed for dinner. In these areas, we have made rapid development. However, in the production of civilian consumer goods, has just started, for example, has just begun the production of television sets. The first 30 years of media propaganda and the expense of farmers, but is also out-and-out lie. As a result of 30 years ago, we have universal access to basic education and basic elimination of illiteracy, today, higher education is also significant growth in our higher education has greatly increase the number of personnel. We have no reason to worry about our ability to independently develop the technology.

Elites to engage in reform and opening up access to the grounds that the Western advanced technology, the so-called market for technology. The actual effects of our enterprises have closed down and the gradual disappearance of the original technology. Western countries is not possible to capture excess profits will be able to sell our technology, we must develop its own technology. We are not without technical capabilities, we are able to carry out manned space flight, but can not run an independent production of the cars on the ground. We rocket into space, launching the same number of cases, low prices, high reliability and shows that we can produce high-tech products. 30 years, we have forgotten the independence and self-reliance. This is the main reason. And fundamentally different from the first 30 years, our technical staff has been an unprecedented growth in the number. 30 years ago, to establish a modern industry, all walks of life are the lack of technical personnel, college students are precious. Now, many of our students graduate unemployment. Technology developers do.

Today, the main reason for embarrassment caused to abandon the principle of independence, at the same time believe that the Western theory of the so-called free market so that our forces dispersed, so that all break the Western capitalists. In the international market, we export products, its internal fight against each other, low prices. While imports of raw materials, by Western capitalists together, resulting in what we import goods, the significant increases in commodity prices on export commodities, commodities on the decline.

Many people worry that the development of our economy to the United States and the Western level of consumption, the world’s resources are not used in China. Such worries exist, but we can solve. Specifically, that is, non-renewable energy resources is the cycle, they will not have the face of the earth will not disappear for no reason at all. Our consumption of resources will not always be on the increase. Japan, the United States in the land the building is completed, the production of steel and other raw materials resources are significant decline in demand, the production of raw materials, mostly from the domestic recovery, such as the United States iron and steel output dropped to 100 million tons, far less than China’s annual output of 500 million tons, and the use of more than 75% recovery of waste iron and steel production. We need to address the issue of alternative fuels, we can the development of solar energy to solve the power supply (Appendix 4). Solar energy from the sun, taken from inexhaustible. The production of solar energy equipment will be consumed, but the use of solar energy equipment, access to energy, only 1-2 years added on to the production process of solar energy equipment energy consumption. We estimate that only 50 thousand square kilometers desert, we can solve our energy supply. Desert area of our country more than 1 million square kilometers, to meet China’s growing energy needs. In addition, we should learn from Japan, the development of rail transportation to reduce motor fuel demand, thereby reducing dependence on oil.

In general, the economic collapse of the United States will not, but it’s high welfare, high-enjoyment is dependent on the free supply of China is the parasitic body in China (Appendix 11). China to continue the current economic line, to keep our material resources into commodities, given away free of charge the United States, continue to pollute their environment, it is not sustainable to continue, from the economic collapse we will not be far behind. The United States triggered the financial crisis, it is also aimed at China’s economic crisis triggered to speed up China’s economic collapse. China, as a long history, there is the world’s rich countries of human resources, natural means to prevent the United States as the hegemonic power of one of the key is the enemy of the United States, one of the main strategies. Illusion depends on the United States to develop the economy, is absolutely stupid. However, the development of our sixties, especially the first 30 years of efforts, we have a good foundation, as long as the change in the development of the wrong line, China’s economic development over the United States, and will not be too far away, is likely to the hands of our generation will achieve. We need to change the following:

1, restricted foreign investment, foreign investment away until gradually. The existence of foreign investment, the main role is to take away the wealth created by workers at the same time control of the Chinese economy. China’s economic development, not a lack of foreign investment is needed for the lack of material resources and technology. Foreign investment will not provide technology to allow access to the disappearance of the monopoly profits. Foreign investment will not provide the resources. Technology needs to develop independence and autonomy of our resources we need to directly deal with the third world countries directly. Today, we have two trillion U.S. dollars, but also concessions to attract foreign investment, which is a wealth given away free of charge folly. There is no government support, foreign investment in China can easily be expelled. 30 years, Western countries continue to surround China, we get a clear understanding of the people has long been the scourge of the United States and other Western countries the nature of China.

2, adhered to an independent development path of self-reliance. The history of mankind, there is no state-to-state relations selfless. China, the world’s most populous country, the country’s oldest, has become the dominate force in the world of the natural basis, which inevitably become the greatest enemy of the United States hegemony. The United States from the beginning of hostilities, to recognize the effect of force is not confrontation, in the Mao era, a joint initiative with China against the Soviet Union was pressing offensive. At a time when the collapse of the Soviet Union is about to begin a new round of lay siege to China, only after repeated setbacks before they change their tactics, for the psychological, cultural and economic aggression, mainly, at the same time the military has been testing. Rely on the United States to develop China’s economy is the history of our country and the world’s biggest joke. We need to self-development, the need to address the issue of technical self-reliance.

3, provide significant benefits and income of ordinary workers to resolve the overproduction problem. A large number of our wealth into the hands of a small number of people, their spending power is limited, and ordinary people have a consumer demand, but have no income, so that new production capacity there is no market. Modern society, capacity building is highly efficient, we only need very few people will be able to produce enough supply of their main commodity. Bottlenecks in the development of our economy is the spending power, as long as we ensure that food production, modern society is unlikely to result in economic collapse. We should learn from Japan and Scandinavia, the income gap control to prevent the gap between rich and poor is too large. Tax policies should be adopted to reduce the affluent class of property, including property tax and inheritance tax, such as cumulative. This is the key to modern socio-economic development.

4, we take the initiative to establish an independent economy, from the West, especially the United States of plunder. This requires our military to go abroad for us to protect the international economic activity, we should first of all to defend the South-East Asia and the Middle East routes, to increase our oil security. Secondly, should be established based on the RMB in the international monetary system and trade system, and resources to achieve our national direct trade, to bypass the U.S. hegemony. Can not export to the United States and we need resources, Third World countries to export oil is mainly used for production of our commodities, we have the two sides complement each other Third World countries through the U.S. to carry out transactions, only the Americans profit. To bypass the United States, is to avoid the only option for economic losses.