China 'faces subprime credit bubble crisis' - Telegraph
Monetary tightening in China threatens to pop the $1.7 trillion (£1.07 trillion) credit bubble in local government finance and expose the country's simmering "subprime" crisis, according to the Communist Party's economic guru.
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Did you know that virtually all the new housing being constructed in China is in private communities? And this is a source of massive corruption, because developers pay off the local government officials, who control all the land. Reading on:
"The audit office said the loans have reached $1.7 trillion (£1 trillion). While some of the money has been used to finance much-needed investments in water systems and roads, a large part has fuelled unbridled construction with a dubious rate of return. The local governments depend on land sales for 40pc of their revenue so the process has become incestuous and self-feeding. Such reliance on property sales revenues has greatly aggravated the post-bubble crisis in Ireland."
3 comments:
"Did you know that virtually all the new housing being constructed in China is in private communities?"
Of course. It was a secret part of my social revolution. As my Soviet comrades have pointed out here with American local government privatization, it's communism cloaked in a corporate shell. Not only that, it runs with the land and is resistant to political change and dissent.
Actually, it is not surprising that communists would favor the collective ownership of your private property. When you strip away the platitudes and propaganda of the HOA industry, community associations are simply a form of communism (hence, "communisty associations").
On a related note:
While surfing the web yesterday, I came across a story -- from a few months ago -- about a statement that Ukrainian-born actress Mila Kunis made while promoting her (then) new movie Friends With Benefits.
GQ: Your new movie is called Friends with Benefits. Ever been in one of those relationships?
Mila Kunis: Oy. I haven’t, but I can give you my stance on it: It’s like communism—good in theory, in execution it fails. Friends of mine have done it, and it never ends well. Why do people put themselves through that torture?
The right-wing went wild with approval. A Hollywood celebrity taking a swipe at both communism and casual sex in one sentence was enough to make them care what a Hollywood celebrity had to say.
See
Fox News: http://nation.foxnews.com/mila-kunis/2011/07/13/mila-kunis-casual-sex-communism
Pajamas Media: http://pajamasmedia.com/lifestyle/2011/07/13/mila-kunis-on-casual-sex/
Free Republic: http://www.freerepublic.com/focus/f-bloggers/2748090/posts
Libertarian Republican: http://www.libertarianrepublican.net/2011/08/mila-kunis-buddy-sex-like-communism.html
What caught my attention was that conservatives and libertarians can see a parallel between Communism and casual sex (??!!), but utterly fail to see the parallels between Communism and the collective ownership of private property that threatens individual American home owners.
Even the excuses for the failures are the same:
- Communism is good in theory, it's just that people aren't good enough for it. This is why the Party needs more power. It's for their own good.
- HOAs are good in theory, it's just that the homeowners aren't good enough for it. They're too apathetic and selfish, so the Board of Directors needs more power. It's for their own good.
Even the left-wing Daily Kos recognizes something that the right-wing is willfully oblivious to:
Communism will never truly be defeated as long as Homeowners Associations still exist.
"As my Soviet comrades have pointed out here with American local government privatization, it's communism cloaked in a corporate shell."
See the letter recently discovered in the old KGB archives at privatopia.blogspot.com/2010/06/httptheweekcomarticleindex204550the.html
After the collapse of the Soviet Union in 1991, many Party apparatchiks continued to produce propaganda extolling the virtues of the collective ownership of Americans' private property. Even though they no longer receive funding from Moscow, the Communisty Associations Institute is able to continue with Comrade Arbatov's plan by collecting HOA dues from American homeowners.
The funny part is that the right-wing used to think (and probably still does) that it was labor union dues, instead of HOA dues, that were being funneled to communist-front organizations. Arbatov's distraction worked brilliantly.
I never imagined that one day conservatives and libertarians would become the champions of Communism. And they don't even realize it! They're more naive than the Soviet apologists we called "useful idiots" during the Cold War.
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