Is It Great Men or Great Times That Change Us?

This excerpt from is from a biography of Deng Xiaoping (Deng Xiaoping and the Transformation of China by Ezra F. Vogel). Mao’s radicalism had destroyed China and the country was facing catastrophe when he took over. This brings up my youthful struggles with the age old argument of man versus history. The argument I [...]


Chinese Stocks Break Out

Many have noted the disconnect between the restrained strength of the recovery of the U.S. economy from recession and the elevation to near record levels of the U.S. stock markets.  A sort of equal and opposite event may have been occurring in China.  Chinese stocks have broken out of a severe downtrend:  See LINK to [...]


Are Chinese Stocks Signaling Yet Lower Lows In U.S. Interest Rates?

What do Chinese equities have to do with U.S. interest rates?  Perhaps more than one would think.  This is a multi-year chart of the Shanghai Composite (stock) Index:


Anyone who has a passing familiarity with what’s happened to U.S. interest rates the last several years can see there is a close correlation between [...]


China Bashing

This is a reprint from a column I write for a local newspaper. — JH

If you watched the last presidential debate between President Obama and Mitt Romney you got an earful about that evil bastion of trade manipulation, China. It seems that whenever a candidate for public office is desperate to attack [...]


An “Austrian” In China

This is a fascinating article from the Wall Street Journal about one of China’s leading economists, Zhang Weiying, who is an adherent of Austrian theory economics. It gives you some insight into what he calls the black box of Chinese politics. But, he says he “is optimistic because he thinks 30 [...]


China’s Solution: Keynes or Mises?

This piece on China comes from the NY Times and is written by George Mason University professor Tyler Cowen. Professor Cowen famously has written why he is not an “Austrian” economist yet he hews closely to its ideas. In this piece he compares the Austrian economic theory analysis of China to [...]


China Falls To The Laws Of Economics

This report comes from Markit which does an excellent job of summarizing what is happening to China’s economy. They are slowing because of two things: the failure and fallout of stimulus (monetary and fiscal), and weakening export markets. They are exhibiting a classic response to the laws of economics as economies built [...]


Bo Xilai: How China Is Really Governed

This is an excellent documentary video produced by the Wall Street Journal on the Bo Xilai scandal that has shaken the Communist Party and Politburo of China’s ruling class. This gives you a glimpse into how China is really governed, and is closely resembling the former Ming and Qing Dynasties where palace intrigue and favoritism [...]


Another Chinese Invention: Catch 22


BEIJING (Reuters) – Dissident Chinese artist Ai Weiwei is learning a frustrating lesson about challenging Chinese authorities – he is welcome to sue the government over a festering tax case, but must first produce a company seal confiscated by police that he has no way of recovering.

Ai sued the tax authorities over [...]


Eurozone: No “Exit”; China: Aims At RMB Internationalization

TM@DB Research

EMU Divergence

Markets and journalists are discussing (once again) the one-size-fits-all problem of ECB policy, with the Bundesbank questioning the generous provision of liquidity and its reignition of the exit debate pouring oil into the fire.

Yes, the economic paths for the peripherals are severely uphill, but reforms being implemented should allow for [...]


An IPO That Helps Define an Era

As a minor-league anti-war activist, Viet Nam vintage, I always chuckle when I look at how Asian stock markets are doing and near the end of Bloomberg’s list, come upon the Ho Chi Minh Index.  Ha!  Peace does beat elective war, indeed.  Just what was the point of America joining that fight?  Now Intel makes [...]