Of course if they used our poverty guidelines, it would be closer to 90%.
The Shanghai Stock Exchange index rose 130 percent in 2006.
And it will do the same in 2007 and 2008.
If we use the Democrat Party guidelines, the U.S. is closer to 90%.
The literacy claim is absurd. If you understand what is required to learn to read and write Chinese, you realize that a huge percentage of the population doesn’t have the natural memory required to be anything more than semiliterate (no population does, for that matter). Moreover, away from the cities, the rural poverty is quite extreme, and the amount of time people have for memorizing characters is not great even if there is a teacher.
My sons read and write Chinese - we know the effort and the ability involved to achieve a reasonable degree of literacy.
Well, instead of going up 130% in 2007 and 2008, why not just go up 300-400% in one year, just get it over with? High rates of return like that, indicate that something is grossly undervalued. Seriously, is China undervalued at this point? And while they are importing, exporting, consuming goods, how do we know that their financial underpinnings are actually sound? If the Chinese market is not a bubble, then it is a first of a kind, a marvel, an economic abnormality of the HIGHEST proportions.
Our own Fed, limits growth of our GDP, to avoid these boom busts, because they think a model like China leads to ruin? Maybe our fed should just stimulate our economy, so it grows at 8% a year, for many, many years? They could you know.
I just love those "You can't lose, it's a sure thing and money in the bank" pronouncements on stock market bubbles.