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It has started: The brand new market in China for Western monopolies!

globinfo freexchange

It seems that everything goes according to the plan. Western multinational monopolies could benefit even more through at least two ways. Less competition in the production sector and a new huge tank of consumers which is about to emerge:

China is poised to become a net capital exporter for the first time, with total overseas direct investment exceeding foreign direct investment by the end of the year, said Zeng Peiyan, chairman of the China Center for International Economic Exchanges, at a forum on Sunday.”

'China is transforming from a major commodity exporter to a capital exporter,' Zeng said. 'The large going-out of Chinese capital means the country is able to participate in the restructuring of global industrial, supply and value chains, which are the keys to foster new competitive advantages,' he said.”

The middle-income group will be the main force to stabilize domestic demand, he said. 'As the group is expanding, 600 million people will be middle-income by 2020. Total consumption is expected to be tripled by then compared with that in 2010.'

Since the United States Federal Reserve announced the end of its quantitative easing policy, the euro has fallen 10 percent against the US dollar and the Japanese yen has weakened by 11 percent. The Russian rouble has fallen about 45 percent against the dollar this year and suffered a dramatic slide early last week.”

The combination of a gradual improvement in global demand, a relatively sluggish domestic economy and declining global commodity prices has largely widened China's current account surplus, which has put additional upward pressure on the currency since June.”


The plan:

The big question is: If all the production will be automatized (even the services sector), who will consume the products? Are we going to a model that most of the people will be receiving unemployment benefits just to survive and consume? In overpopulated developing countries there are huge potential consumer tanks. Their consuming power will rise and the complete automatization of the production there will take decades. However, the suitable conditions should be created first, in the aged and saturated West, in order a limit in wages to be established and the expansion of the Western social state model to be prevented because all these things mean an additional cost for the global economic oligarchy:


And the battle:

Although Western monopolies may benefit from this transformation of the Chinese economy, the Chinese capital will be probably directed to emerging economies and small-medium businesses, or even countries that currently clearly belong to the Western sphere of influence, but face huge problems due to the neoliberal doctrine and desperately need new investments. The Cold War 2.0 in the economic field.

What we see now, is a cruel battle with time. On the one hand, Russia and China, together with the rest of the BRICS, are trying to get rid of the dollar and form their own currency system to gain complete independence, on the other, the neocon banking-corporate puppets in the US are in panic and seek desperately a pretext to come to war with Russia and put an end to this threat for their plans. This explains their agony to drag Russia into a warm conflict.

Comments

  1. The Obama policy that is pushing China and Russia closer together reeks of stupidity! With the U.S. eager to demonstrate goodwill and gesture its support to allies in Asia through the "re-pivoting to Asia campaign" the U.S. is actually re-pivoting China towards Russia. A great shift in power to the East continues. The struggle is occurring to unseat America as the worlds most dominate nation continues. For many proud Americans who see the United States as having a right to be in control it is both threatening and frustrating to see that control slip away.

    It is threatening to think the country might quickly fall to the position of a second rate power mired in debt with many of the options we have come to see as our right suddenly ripped away. It is frustrating that in many ways America appears to have become its own worse enemy guilty of political inaction and squandering its power through a series of bad choices and missteps. More in the article below about the continuing massive shift in power to Asia and how America must immediately face its problems and go about the business of setting its house in order.

    http://brucewilds.blogspot.com/2014/06/americas-struggle-to-stay-on-top.html

    ReplyDelete

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