For the past decade since the financial crisis, China has largely supplied incremental global liquidity. This is a fundamental change from previous decades where the US was the fulcrum. But, today the Chinese have realized they can no longer provide the same level of liquidity to fund growth given the rising debt levels in their economy. And so, the result is a global growth slowdown that will eventually lead to a shortage of dollars and, likely, a financial and political crisis. This is a shor...
Edward Harrison considers the following as important: China, crisis, currencies, Europe, Gold, liquidity, Political Economy
This could be interesting, too:
Mike Norman writes Andrew Sheng and Xiao Geng — China’s accountability system unique
Edward Harrison writes No catalysts for global recession as Brexit gets long extension
Mike Norman writes JRL NEWSWATCH: “Russia’s New Gold Rush Could Shake Up the International Monetary System; Russia and China might be considering a gold-backed digital currency.” – Moscow Times/ Bruno Macaes
Thomas Palley writes What’s Wrong With Modern Money Theory (MMT): A Critical Primer