Why China Will Boom During the 2009 Great American Depression
Tuesday, September 30th, 2008American dependence on oil and fiscal mismanagement will allow emerging markets to come into their own
BEIJING, Sept. 30 - With the news yesterday that the U.S. Congress had voted against plans to inject US$700 billion into its beleaguered financial system, the chances of the United States entering into a depression have significantly increased. In fact, warning signs over the state of the U.S. economy and warnings over sub-prime mortgage debt have been circulating for the past 18 months. The phrase “Great American Depression” to give a title to the current state of affairs was first coined by Socgen analysts well over a year ago, while the debate goes way back to January; see this report by the Global Anticipation Bulletin.
With U.S. election due in just a matter of weeks, Congress has effectively voted not to allow the current administration access to US$700 billion of tax payers money to sort out the banking mess. That may well tip the United States into recession, even depression, but although that may well be tough for America and Western Europe, who also bought into the U.S. debt, it will have the longer term impact of allowing time for the United States to get their financial and regulatory house in order. That is to be welcomed. But what happens next? (more…)






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BEIJING, Sept. 29 - The Beijing government has announced that the vehicle usage restrictions that were widely enforced during the Olympics period will be reintroduced in a modified format from October 11 this year until April 10, 2009, from 6am to 9pm daily.
Sept. 28 - The on-going development of the Chinese melamine scandal has reached into international brand products with several multinational food manufacturers now also having to recall product after tests showed them to contain traces of melamine, the substance initially discovered in Sanlu baby milk powder.


