Wednesday, August 19, 2015

Distrust and Fear in China

Fear of Toxic Air and Distrust of Government Follow Explosions in China is a classic problem for authoritarian regimes that stifle the press and yet are confounded by public disasters that can't be swept under the rug. Xi Jinping's regime is tottering because economic and governance messages provided by a free and independent press are not there to help authorities level imbalances and diffuse explosive circumstances.

China Keeps Still Eager Global Investors Guessing is a badly worded business headline because there can't be eagerness to invest in a guess.  It's glaringly apparent that China's growth is not at the 7% rate declared these past few years and so what is credible in any of their official pronouncements? Any wealth manager thinking this summer's downturn is one that China will quickly recover from will be lacking in wealth to manage.

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