Describing Russia, Winston Churchill said, “Russia is a riddle wrapped inside a mystery inside an enigma.” I wonder how he would describe modern China; I think it would be fun to hear that quip.
But on second thought, I don’t think we need Churchill for the task, as yet another fine Englishman—George Orwell—summed it up nicely with his definition of Doublethink:
REWIND:
The latest G-20 communiqué said nothing new. You know ... where the leaders told us they’re not yet ready to rein in the stimulus they’ve provided to their respective economies.
FAST-FORWARD:
Dominique Strauss-Kahn, head of the International Monetary Fund, is spewing all kinds of commentary this morning.
Didn’t your mother ever tell you that sarcasm would get you nowhere in life Mr. Treasury Secretary:
Reuters (12 Nov 09): U.S. Treasury Secretary Timothy Geithner said on Thursday a strong dollar was important for global stability and Asia was leading the global economic recovery. "We are seeing Asia lead the world back to recovery," he told a news conference at the end of the Asia Pacific Economic Cooperation forum ministerial meeting. A strong dollar was important for the United States, which also recognizes the important role the currency plays in global economic stability, he said.
For several years now most analysts have understood the way in which China reports their economic data. China says what its people, and often times the rest of the world, need to hear.
It can be argued, though, that a lot of the numbers spewed out in China are manipulated for the better, for the sake of social contentment. An older, third-party article on this topic can be found here.
I spoke at a conference yesterday. It shall remain nameless in order to protect the guilty. What was most funny/incredible/nutty is a belief by said conference chief the US dollar, and in fact all paper currencies, will disappear within 10-years. We will then move to a commodity-based monetary system and Mr. Greenback will be gone.
