The real estate "crisis" is China readjusting it's economy to not rely on real estate anymore and move into high value, high tech industries. The fact that the real estate investment is shrinking while Q1 GDP growth of China is still a high 5.3% already tells us that this repivoting of their economy has already work. A lot of this growth comes from increase in exports, in a time when demand is slowing down. This means that even if the pie is smaller, China is getting a larger share of that sweet sweet export of industrial goods. They pop the relationship estate bubble deliberately, and it worked for them. Meanwhile, there is an actual real estate crisis in the US where banks are holding over 110 billion worth of real estate loans that are in danger of default and foreclosure. China's policies have prevented exactly this kind of crisis. It is time for western commentators to stop calling it a China real estate crisis and call it for what it really is, China renewed real estate sector and reinvestment of industrial sectors.

@arthurhwang117

29 күн бұрын

Exactly. It’s not a “Real estate collapse”. It is an intentional realignment of the economy through a policy to depress real estate prices so as to make property more affordable for the young, while at the same time channelling investment towards more productive and sustainable sectors such as R&D and industrial production.

When the US supplied has the lion's share of all production, they did not complain about overcapacity.

@FallenLeavesBackToRoots

Ай бұрын

They also didn't complain when China only made toys and t-shirts for them. 😂

@willengel-vs8ht

29 күн бұрын

the empire money printing press and debt load are overcapacity.

This is becoming my favourite channel on geopolitics

@neutralitystudies

Ай бұрын

Thanks for that!! Wait till you see tomorrow's interview with Hungary's Political Director, Balazs Orban :-D

@TIATAC

Ай бұрын

Looking forward to it.​@@neutralitystudies

China as factory of the world has the most complete supply chain for most products, semi-conductor in the not too distant future, probably a handful of years.

Very enlightening discussion. Thank you Pascal.

Thanks for choosing this important topic

Still detect notes of exceptionalism. Are not nationalised banks an advantage in such temporarily oversupplied infrastructure projects the govt owns & will grow into?

If anyone from TSMC finds this there'll be some epic eye-rolling going on.

Decoupling means independent. Most Westerners experienced trauma to be independent from their parents. Decoupling is triggering this childhood trauma and thus affecting most people to act irrationally or emotionally.

Digitisation of the supply chain, not sure how that translates to the delivery of physical goods. Such as cars, bikes, mowers, tractors, building materials etc, etc. his view appears to come from specific perspective

Level-headed comment, thanks.

@TIATAC

Ай бұрын

As always great view and take on current events. Better than most main stream media stations especially the Sinclair networks.

Pascal, this Prof advocates the digital economy without truly understanding the complexity of the social and physical substrates for product innovation. His limited knowledge and experience blinds him to the innovations developed in China both in large infrastructures such as railway technologies and 6G. I initially wanted to buy his book, your interviews have helped me not to.

The best intrest for everyone in this world is corporation and co-existent and multipolarism, instead to decived to influence hemospheres akd uniopolarism. I think the american is little bit misconception about what chinese mean nations should take a stand to meet their own intrest. In fact its a good things for china and everyone that supply chain are more split to multi-chains. What the west want is only the west, especially american who can pick and choose.

It appears that the country which captures the greater proportion of a supply network, or a smaller proportion of many, possibly larger, supply networks will benefit because the multiplier effect produced through those captured networks will be sufficient to grow that country's middle class (aka white and blue collar) workers. Jack's insistence on capitalism is conflicted but irrelevant because in all cases the State needs to provide Institutional support to enable the better value generating segments of a supply network to remain within that State's boundary and thus that State and its citizens can benefit from the "multipler" created. Pascal and Jack, a very original discussion, thanks for publishing.

China is not going to become a consumption driven economy. Japan never made the transition to a consumption driven economy. South Korea never made the transition either.

@arthurhwang117

29 күн бұрын

A “consumption driven economy” is fine if that economy is also able to produce the products that it consumes. All this will mean in future is that, rather than exporting the sweat of their brow for the US to consume free of charge (by printing money), China will allow its citizens to consume even more of what they produce by raising income levels through home-shoring of the profits of production and more equitable/efficient distribution of those profits. Meanwhile, without cheap, affordable Chinese products, the living standards of ordinary people in the US will plummet as inflation explodes. The problem comes when the “consumption driven economy” is no longer productive, but has to borrow to consume. This increasingly describes both the US and most European countries (including Germany where industry is collapsing and relocating abroad because its government allowed America to cancel its import of cheap Russian energy and to replace it with American energy imports at multiples of the original price point, rendering German industry uncompetitive and unsustainable. So we need to define our terms and be clearer in our analysis rather than just talking about “export economies” and “consumption economies”. If an economy depended largely on exports for its livelihood accompanied by inadequate consumption, then its population would have intractably low living standards as its workers do not benefit from the factories for which they work - the case for much of Africa during the 20th century. That this has not been the case for China can be seen by the soaring living standards there over the last thirty years. They both produce and consume. As does Japan and Germany. Incidentally, Germany per capita is far more dependent on manufacturing and exports than is China.

Your guest is hoping, and that too from his back end😂

Did apple relocate to India. I heard that it’s not so. I really can’t get any information on that

@thucduyen9592

Ай бұрын

I have read reports that they have moved back to China as there is no complete supply chain in India & it is cheaper to be in China.

@willengel-vs8ht

29 күн бұрын

Apple did ask Foxconn to move its assembly line to India. Foxconn suffered big setbacks in India as end products only met 50% standards and labor issues. let me briefly explain role of Apple and contractor. Apple lets a contract. the contractor is responsible for everything. Apple only needs to look at the end product is up to spec, and then pays the contractor. Apple doesn't responsible for anything. Foxconn wanted to keep the contract so they moved and suffered setbacks.

Look back 40 years. Famines we're to be expected. Grinding poverty was all around. The world was in a sad state. Global supply chains were in their infancy. Since then unimaginable wealth has grown year over year. US reaped tens of trillions of wealth. US policies began to consider it had exclusive access to this money. US focused military spending on controlling every aspect of keeping exclusive access to this bonanza. It engaged in many conflicts not to bring about peace and prosperity for the greater good for all but to keep America as the nation that controlled the lions share of the wealth. This led to using provoked forever wars, arming contras, creating puppet leaders like Mr Zelensky. Funding phony opposition individuals like Mr Navalny. US is 4% of global population yet it's #1 in the use of war, coercion, bribery, sanctions, selling weapons.

An interesting but equally frustrating attempt to elucidate a very important but much under discussed subject . From the outset I struggled with the opacity of Buffington's frequently gratuitous jargon. There was a very revealing moment when Pascal sought clarity regarding his use of the biological term 'genome' - was it being deployed metaphorically or literally? Buffington's reply was as uninformative as it was dismissive. In fact the point in question was crucial and related to much else he said. I was often left unsure as exactly what flavour of 'language game' he was playing; too many lexical skewballs even for Pascal's straight bat. Sadly he missed an opportunity to actually engage and explain rather than merely pontificate and opine from within a seemingly very inflated epistemic bubble.

I'm afraid your guest today has zero idea what he is talking about when it comes to China 🇨🇳

wast of time from this guest .

Iphone not made in india. Assembled in india