Lemonade from Lemons?

If China becomes the only source of anything, we're all in deep doo-doo.

Most of the metals processed in china comes from Australian Ore, push comes to shove Australia can turn of china overnight, from gas to Uranium to coal to iron ore Bauxite, you name it we supply it to them.

So if they hold out on a given material so can the rest of the world, greed from large mining companies who want the chinese money, is what is stopping the fair trading, and they wont stop the selling because it does not affect them.

The point will come when they will refuse point blank on something the government needs, and then the government will halt what they can control "exports and customs"

It only take one man will balls to stop a country, example, qeensland premier Joh, was not happy the Kiwis stopped a US nuclear warship from docking in new zealand, Joh said well we are their alies in the ANZUS treaty so let them in, the Kiwis did not, the following week a private ship carrying chocolate from New zealand was due to land in queensland, Joh said it cannot dock here in this state, everyone laughed thinking the Federal government would step in as the new zealand government even said he could not do it, but ports come under state law, and the ship never landed.

If he said he would do it, no matter the outcry, he stood by his word, the only politician in Australian history that kept every promise he ever made, whether you hated him or not that was a true fact. sure he gave jobs to the boys, but he did it in your face not behind your back, he kept his word and had the balls to back them up. get rid of the new skirts running the planet who have no balls to just say piss off, and the world will never have to tolerate standover tactics, by china or the US or even a small country like new zealand. What goes around comes around, you can stand your ground but remember it will always likely bite you on the ass, so be prepared for what comes and cop the bite or don't play the game.

Not just a Good Answer, THAT WAS A VERY GOOD ANSWER.

What I can't understand is why do strong countries like Japan, USA, Australia, Canada, allow the Chinese to do this when they have it in their capabilities to cut China's balls off and make them scream in pain.

All they would have to do is block every import from China, and like you say, block all exports to China to show that thieving nation that they have to stop all their frauds.

My reason for calling China a thieving nation is the entire US dollar stash that China is calling a 'Sovereign Wealth Fund' is a fraud, it's all printed money because Beijing instructs all their exporters to bill in US dollars and then they print Chinese yuan to buy those dollars, hence those US dollars are 'free' money and it's that money that they are using round the world to buy up mining and oil rights in Australia, Canada, South America, Africa. That money does not cause inflation in China because it's all being spent abroad.

I couldn't agree with you more, the politicians of Oz, USA, Japan, Canada need to get together and rip Beijing a new one.

Thinking of Japan, USA, Australia and Canada (don't forget Europe) as strong states is only half of the reality.

China, India, Brazil and Russia could live without these - no big difficulties expected.

But the western states will never be willing to live without the cheap imports from these countries.

So the real problem is the huge relation of salaries: near 1:20 if looked at the workers income, near 1:50 if looked at the factories cost.

So there are two ways of counteracting: a.) go down with our salaries - no chance unless driven by poverty. b.) impose a tax to limit free trade so that a part of the big factor is smoothed out.

So for the relation 1:20 the tax would be near a factor of 4.5 on labor cost: this tax on imports would be partially given to subsidise exports and partially to support "useful" goals of our states.

As a result motors and toys from China would likely rise in prize by a factor of 4 and oil from Russia and Brazil not at all as no much labor cost on it.

At the same time our exports (machines ...) would be cheap in the outside world and no problem to export in competition from countries of low level salaries.

Thus there would be a large surge of new companies producing goods in the expensive western states - unemployment near zero.

There is momentarily in the world the mostly accepted dogma that free trade is the best for everybody.

I think that this is the biggest misunderstanding of our time.

China is not only a strong competitor everywhere but also helped the US in spending much more than having: there are now near 2 billion $$ as US-paper-$$ in Chinese treasuries and both countries do not know how to live with the situation. China cannot use this money freely else the $-value will dwindle next to nothing ?, so they use this money to buy useful - investments in factories, farm-land, raw material deposits and mining activities. What else would you do?

So very likely this is a way-point we reached: either we invent a mechanism that will stabilise the relation between states with high salaries and those with low salaries or the "rich" western states will no longer be rich within 30 years.

This is a similar development as on the decline of the Roman empire: all industrial work and most other production ceased in the homeland and the provinces with low salaries accumulated richness. This richness was recirculated as heavy taxes in that ancient example but did not prevent the instability of unemployment and laziness that resulted from " no necessity to work - we are simply rich".

Today there is no recirculation by worldwide tax collecting of one dominating state so the outcome will come sooner. Be pepared!

RHABE

Hello RHABE:

You have a lot of valid thoughts and statements.

I do disagree with you on what nations can do with out others.

China did not become the China of today with out scraping Communism and replacing it with a good old fashioned dictatorship. This allows some capitalistic freedoms dealing with personal wealth and industry. So long as the ruling elites maintain power, approve, and gets it's cut.

This has unleashed one of the Asian tigers. Their Achilles heel is that they have to export to survive at the level that they are now progressing. No exports equal no income. They may hold a whole lot of foreign currency, but it is worthless if you can not do anything with it. Many nations have in the past and present clamped down on foreign ownership.

They must export to survive and to fulfill what they consider their "Manifest Destiny" As much as we want the cheap goods they need us, to send them to.

India: It too wants to become a dominate player in their region. They to must export to do this. They are doing an outstanding job in their IT sector.

Brazil: It is hard to pin it down. It wishes to be the major South American player and has the natural resource's (oil, gas) to do so. They are very resourceful at doing with out imports. For all the oil that they have found as of late, most of their automotive fuel is ethanol based as once they had no oil. They are also developing major industries.

Russia: The big sluggish bear!

There is nary a natural resource that they do not have. A lot of it, the world wants. They have a massive population, most of which is educated. A very large potential consumer base. It also has ambitions.

Once they get over their corruption, graft and that last remnants of the old communist party, and make it a safe place for foreign investment, it will start to wake up, as their inefficient industries are brought up to western standards.

With what they already have, combined with potential, they could do with out the rest of the world.

80 years of communism has not killed their soul, but it sure has given it one hell of a beating. They will come back. History proves that.

FREE TRADE:

It is not perfect, and there is not a signatory to some free trade treaty that has not played fast and loose with the rules, at the expense of another nation.

It still beats the isolationist leanings of the past. Politics, tariffs, duties, exclusion, etc. Have always lead too retaliation and some times war.

Again this is supported by history.

north america, europe, china, ect.....today it's a world market. As stated earlier when a state takes it upon themselves to try to corner a market or inflat prices, there is going to be a reaction.

I visited Kazakhstan recently and was informed that theirs was the (only?) country to have ALL the elements in the periodic table. Of course thay are still very much allied to Russia, particualrly in the west and border China in the east

All they would have to do is block every import from China, and like you say, block all exports to China to show that thieving nation that they have to stop all their frauds.

When thy servant becomes thy Master...

I think its time for everyone to wake up from ther dream. Natural resources, Huge labor force, Tremendous manufacturing infrastructure, Nuclear power...Does this remind anyone, say a country sum fifty years ago!

Yes, the Soviet Union.

France actually.