Analysis on China
The trend of military spending in major countries between 1988 and 2007 is as follows:
India and Brazil have been relatively moderately increasing their defense budgets.
But, China is more aggressively expanding its military budget, following the steep rise of defense spending by the U.S. that has been engaged in the War on Terror since 2001. It might be in parallel with its growth of GDP or it might be part of its GDP. But, China's behaviors in Tibet, the South China Sea, and the East China Sea as well as its support for North Korea are not peaceful at all. It is just like a gangster getting armed with modern weapons who is dreaming of satisfying its desire to intimidate neighbors and extort any money. Chinese leaders and elites try to look great and wise men but what they are doing reveals that they are simply gangsters.
They sent troops to Tibet to occupy the nation. They send military ships to the South China Sea to occupy the region. They send para-military ships around the Senkaku Islands to threat Japan. They support other gangster country North Korea. They oppress Muslims in Central Asia. They are developing weapons to destroy an American aircraft carrier battle group. They arrest anybody who criticize the Chinese Communist Party. They intimidate families of victims of high-speed train accidents to silence, while infringing every patent right of Japanese comanies. It is not a country of freedom, democracy, and human rights, while increasing military budget so much.
And, what is worse, there are tens of thousands of Japanese, American, and European businesses earning big profits by using cheap Chinese labor force. Wall Street companies are not exceptional. Apple is not exceptional. So, they are all responsible.
Indeed, companies in China who export are foreign companies or foreign-affiliated companies in a ratio of about 50%. Companies in China who import are foreign companies or foreign-invested companies in a ratio of about 50%.
Alarming figures about China is percents of individual consumption and infrastructure (development of real estate, construction of factories, roads, etc.) to GDP.
The ratio of individual consumption over GDP in China:
Year..........Ratio
2001..........45.34%
2005..........38.82%
2009..........35.51%
The ratio of infrastructure building over GDP in China:
Year..........Ratio
2001..........34.63%
2005..........39.67%
2009..........45.41%
So, Chinese people come to spend less and less as individuals in percentage despite China's huge success in economy. And, those buildings, factories, and public/private facilities being invested big funds into in these years do not like being cleared off or paying off by profits earned using those facilities. If nobody use so many big condominiums they have built in Beijing, Shanghai, and other Chinese cities, those buildings will become social debts but not assets.
Yet, the Chinese Government most likely use a trick to make them off-balance-sheet liability. They will force domestic creditors and debtors to keep silent. So, if the bubble had already burst in China, it would not be announced publicly. If 400 million people suffer the adverse effect of economic failure but 10 million people can continue a rich life, the Chinese Government would pretend that depression does not happen, since other 600 million Chinese citizens should continue their living without much change.
So, we have to have a special strategy to deal with the Chinese economy.
(to be continued...)
*** *** *** ***
Now many jobless youths as well as working youths and middle-aged citizens are gathering and occupying Wall Street.
But, in China, there is no such freedom. But people provoke a riot sometimes. And the Chinese police would eventually suppress them and the Chinese Government would report a veneer of economic success. So, a future revolution would increase its potential in China.
As for the U.S., it is unlikely that the current unemployment rate 9% will be lowered to 4.5% like before the Lehman Shock. Goods and products are manufactured in China. The American high-tech sector does not need many workers. Even the financial sectors is undergoing laborsaving innovation with advanced computers and other machines. And, Hispanics immigrants are filling agriculture fields.
Advancement in technology, social systems, and global economy has all led to laborsaving in America, though it caused 15-year long deflation in Japan. And, one major factor behind this trend is China. Once the U.S. had only one global No.2 economy Japan as a rival. But, now the U.S. has two global No.2 economies Japan and China. They do not need many American workers eventually.
Anyway, the solution should be found in Christianity but not in economics in both Japan and the U.S.
Mat 10:8 Heal the sick, cleanse the lepers, raise the dead, cast out devils: freely ye have received, freely give.