China claims their GDP is growing at 6.9%.
This is, of course, complete and utter BS but even if you accept this BS, it’s still unsettling how fast the GDP growth has contracted over the last 18 months. Still, this is just silly because China is claiming 6.9% GROWTH when dozens of other economic indicators out of China are showing CONTRACTION.
You won’t get any serious analysis of China’s economy from the US Media, who are so beholden to China and Chinese companies that you may be completely unaware that the Chinese Government has recently “unleashed an extraordinary assault on basic human rights and their defenders with a ferocity unseen in recent years — issuing directives insisting on “correct” ideology among party members, university lecturers, students, researchers, and journalists.” In fact, according to Human Rights Watch’s 2015 Report:
China remains an authoritarian state, one that systematically curbs fundamental rights, including freedom of expression, association, assembly, and religion, when their exercise is perceived to threaten one-party rule.
Yet China’s leaders were just greeted with open arms in the US and now the IPhone makers are heading off to England where, Liu Xiaoming, China’s ambassador to the UK, said British people“know how to behave” and the topic of human rights would not be raised at the dinner on Tuesday. As a Jersey boy, I also “know” mafia-style intimidation tactics when I hear them!
Meanwhile, let’s not get off the topic of fake, Fake, FAKE GDP numbers since we follow the market and the underlying assumption that China is growing at 6.9% is being used to justify a lot of insane corporate valuations – especially in China.
Capital Economics has a thing called the China Activity Proxy which is considered a much more realistic view of China’s GDP and, as of Q1 – it was at 5%, which is it’s lowest level since 2003 and much worse than the recent collapse in 2008, which helped trigger a global recession.
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