As I said, I don’t have evidence to back any “hunch” as to what their plan is.
The facts are, however, that they own a huge chunk of our debt. The administration that defaults on that will find China completely abandoning us and, at least, the BRIC nations demanding the world drop the US dollar as the reserve currency.
Because of that, the ChiComs will be able to call some pretty big shots going forward.
Here is an article from Mish, a good economic eye, that helps put our current mortgage situation in focus:
http://globaleconomicanalysis.blogspot.com/
Some highlights:
Mortgage Facts and Figures - Select States
* California has $2.4 trillion in mortgages debt. 42.0% of the properties have negative equity.
* Florida has $923 billion in mortgage debt. 49.4% of the properties have negative equity.
* Illinois has $447 billion in mortgage debt. 29.4% of the properties have negative equity.
* Arizona has $298 billion in mortgage debt. 51.0% of the properties have negative equity.
* Nevada has $149 billion in mortgage debt. 65.6% of the properties have negative equity.
* Nationwide there is $10.1 trillion in mortgage debt. 32.2% of the properties have negative equity.37.6% of the properties have “near-negative” equity.
32-37% Of All Mortgage Holders Are Stuck, Unable To Sell
This adds up to some incredible bargain-shopping for the ChiComs.
As I said, I have no hard evidence what their plan is, but my gut (and my head from my studies of communism) tell me that they do want as much real estate along the west coast as possible and that when it comes time to pay them back for their other investments and we are unable, they will demand we lift some immigration laws to allow them to expatriot large numbers.
But who knows. I was just posting this in the “not a great idea for our future” category.
EXACTLY!
You have fleshed it out completely
Plus if the USA has a grand recovery and gets stronger then their real estate investments do great and they sell in the future at great profit
So the ChiComs win no matter what
Lets pay attention and see if they buy more such investments