Can we always win?
Posted on Jul-20-2010· by china investor
I read some report which reported a rich man said no anyone developing country can get support by domestic demand.
I had to say I do not agree this kind of words, china have 1,400,000,000 people, we can not always try to export goods to 6,000,000,000, also now the most of big developing country are try to study east Asia model–Industrialization and export.Also we all know Obama said USA will let export double in next 5 years, we will found this world will become very crowd soon.
Global export are depend the economy increase and transportation costs and so on, but now we face a uncertain future, if the Iran have a war,the oil costs will broken the records, so many factory which export their product to USA will move to Mexico and so on.
I am very tired to hear many rich people said chinese works should not ask increase the salary else their factory had to closed or some rich guy told us all chinese people is error, the price of house will never drop down, or will never drop down 25%, I had to said I feel very unhappy to read these words.Why?
Because china have so huge excess capacity and in financial crisis china is still generate excess capacity, I am worry about if the global economy can not back the old way, these money will become dead money and I had heard some department begin reduce “excess capacity”, although these factory is not running a long time, this is waste money. These money is dead money.
We need let these “excess capacity” running for chinese people, because the most of these young people need merry, born child , play ,relax , study, eat more and enjoy more, but they have no money!
I read report said per chinese just have not more than $1000 in bank, and the price of house need they pay 25 years salary total, what can they doing? The only things they can do it save money into bank and did not buy what they want.In last months, the price of house rise up more than 10% per month.In last 10 years, the price of the house always rise up, I do not understand how can these people do not have a living point, do not have Health Insurance, do not have Social Security and then dead silence?
At the other hand, their have so huge voice told us all chinese is error, for example a Ph.D told us the price of house is not a high level, when they living in USA, every usa people do 6 jobs per day and these USA people are do many job like maid and wash dishes for earn money and ….. per day. So chinese should tear their face and do six job include wash dishes for 30 years to buy a house which is not more then 30M for the whole family.
I am not really tired to hear so many rich people have so loud voice told us the chinese people are wrong. I think we are pig,they are human,why in their eyes we are so stupid?
Follow these words, china had to face financial crisis too, because people have no enough money to buy products but there are so huge excess capacity.I am really fear ,I love my country and culture and my people, I do not hope say the crisis happened in china.
What I want to say is:turn back , increase rate,build Social Security System,let people have money buy house, merry , born child , and build Unemployment benefits system…
So people will begin consume, we can not say it need a long time so we will do not do it in the current.That is a truth lie.
If we do not begin, we will never start the right way.Once you begin move, Roma will understand your foot soon or later.
Also I have a question, can we always win? If we do not increase rate, when we need stimulate economy, what tools can we used?Do not be so greed a man, if you try to win always, you will face a crisis soon or later. Face the truth and protect the most people’s life.