The first requirement of a successful economy is that there is a credible currency, or, better still, real money. The second requirement is freedom; an economy thrives in direct proportion to the absence of government regulations and taxations. The third requirement is oil.
That this is not broadly and easily understood is a damning indictment of the education system.
The absence of the first two requirements is why China is in deep trouble. It could have maintained and expanded Deng’s opening up and freeing up of the Chinese economy – or not. With the re-election of Xi Jinping, it has continued to choose ‘not’.
China has some major problems that its government is well aware of. These include, but are not limited to, a falling population, more debt than can ever be repaid, an excess of the national wealth tied up in real estate, a currency that is tumbling in value and large and growing unemployment with consequent major rumblings of unrest in the population.
The choice has been twofold, 1/ dramatically free up the economy and go through a lot of short term pain, or 2/ re-impose total control of the economy.
The C.C.P. has opted for the latter. Thus, the Chinese economy will utterly collapse.
This will, of course, mean more militarily belligerence in the South China Seas. It is usually overlooked that the reason for the coveting of the small islands is that the South China Sea is one of the largest untapped (mostly) oilfields in the world. A geologist that I spoke to claimed that it was the largest. Ownership of the islands means ownership of the mining rights around them.
China is not alone. The whole world has chosen the course of more government control.
The world is rushing headlong into the biggest economic collapse in history.
The U.K. (for example) worrying about who the next P.M. is going to be is like being preoccupied by the colour of the rock that is falling on one’s head. Yes, Europe and the Anglo world are toast, but China still leads in the rush to ruin.
As Lord Baden Powell famously said: “Be Prepared”.