"There is no means of avoiding a final collapse of a boom brought about by credit expansion. The alternative is only whether the crisis should come sooner as a result of a voluntary abandonment of further credit expansion or later as a final and total catastrophe of the currency system involved."
- Ludwig von Mises

Wednesday, March 9, 2011

Niall Ferguson: China Will Overtake the US in a Decade

More on the Chinese Challenge to US Hegemony.  I'm not entirely sold on this.  I think China has its own demons it will be facing soon.  Access to oil, for example will affect everyone, including China.  And another thing: in a fiat money world, is it really better to be a surplus country?  What exactly do trade surplus countries exchange their economic output for? Someone else's debt?  Good luck with that.



boatman said...

niall was great with his 'ascent of money'...n entertaining.

but china has wayyy tooo many skeletons laying around to pass us in ten years.

i caught your discliamer in the headline.

the big bada boom bust coming will get them alot too.

i do not think anyone will be passing anyone in the long cold winter to come....n it will take someone on our beach invading to get the US to go military again....the people have had it w/that thankfully.....maybe aircraft n missles if iran vaporizes tel-aviv....tho i doubt that out of obozo....he sends a rented italian ferry to get our people out of libya...laughable.

skirmises here n there.

just my take is all.

Dave Narby said...

Niall evidentally doesn't read Shedlock.


The shoddy and potentially disastrous Chinese building practices described there have been strongly confirmed by my "man on the ground" in Asia.