Weekend Reading: Neocon’s revenge

Comments

  1. Wow! Garnaut was sooo much better than Gittins. Garnaut was balanced, nuanced, informative. Gittins was little more than a sales brochure for Quarry Australia.

    • Gittins:”Think of China, think of steel; think of Chinese steel, think of Australia making big bucks.”

      Gotta love that sort of insight! At least he can say it in less than 2000 words unlike some other verbose commentators.

      If I hear “new paradigm” or “last another ten years” again, my contrarian radar will start to spin uncontrollably. Must….resist….shorting….EVERYTHING…..

      • Mate I love hearing the mainstream talk about “new paradigms” of prosperity, especially when it comes to asset classes. Because they’re usually telling me where the bubbles are and where NOT to park my cash!

    • Clearly Ross hasn’t spent his holidays reading up on the risks in China. About the closest he got was this:

      More than half China’s annual steel production is used for investment in buildings, structures and machinery. (Total public and private investment spending’s share of GDP is a remarkably high 45 per cent – a sign China’s in the industrialisation phase of development.)

      But he’s actually managed to put a positive spin on a China’s unprecedented imbalances!

      I’m the first to admit China could boom for another 20 years, but to not mention the (increasingly apparent) risks strikes me as very poor journalism.

  2. threedogsandakid

    Late in the weekend read, I know, but what if?

    http://www.nakedcapitalism.com/2011/01/what-if-chinas-gdp-is-seriously-overstated.html

    I have before said where is Brad Setser when you need him and his expert analysis – he was the best China mind going when at CFR. Mr Setser would have known truth as to China’s reported GDP, and he always had a healthy skepticism as to the accuracy of all Chinese government reported figures.

    Michael Pettis makes mentions of China’s lead role as pollutioner par excellence in global terms…reminds me that Jarad Diamond in his recent book Collapse specifically named China as one of the seven ‘doomed’ countries, and China’s environmental practices were a key contributing factor (along with human rights violations, disregard for plight of general population, etc). actually I seem to remember that Australia was also on the list, primarily for long term environment degradation and being at the mercy of global climatic changes…