economics
Imported tag from Readwise
economics
In August 2023, the U.S. Commerce Department found that Chinese PV producers were shipping products to Cambodia, Malaysia, Thailand, and Vietnam for minor processing procedures to avoid paying U.S. antidumping tariffs. China’s PV-production capacity, already double the global demand, is expected to grow by another 50 percent in 2025. This extreme
... See moreZongyuan Zoe Liu • China’s Real Economic Crisis
Historian Michael Howard has said that war and welfare go hand in hand. Perhaps that’s because even the most financially prepared, the most risk averse, and those with the most foresight can be completely crushed by war.
Morgan Housel • Same as Ever: Timeless Lessons on Risk, Opportunity and Living a Good Life
.economics
In retrospect, these were obvious markets for hard drives, but at the time, their ultimate size and significance were highly uncertain.
Clayton M. Christensen • The Innovator's Dilemma: When New Technologies Cause Great Firms to Fail (Management of Innovation and Change)
It is interesting that this run up in commodity prices over this 10 years from is still smaller than what happened between 1971 and 1980 during the period of the Great Inflation. In the ‘70s, commodity prices grew twice as much in roughly half the time. This says something about the supply side response by producers to the most populous nation in
... See morePeter Farac • A New Commodity Bull Market Must Come With a Weak US Dollar
Success in investing comes not from being right but from being wrong less often than everyone else.
Aswath Damodaran • The Little Book of Valuation
Xi has made it clear that his top priority is to transform China into a self-reliant global superpower. He aims to be the leader who definitively leaves China’s “century of humiliation”—a reference to the long era of China’s perceived subservience to Western powers—behind. In this context, the government’s current GDP growth target of around five
... See moreZongyuan Zoe Liu • Why China Won’t Give Up on a Failing Economic Model
So, if you truly want a world in which asset prices come down to reality, debt is reduced, and speculation is at a minimum, you are going to have to vote for leadership that will not react when inflation is high, unemployment is high, growth is negative, the banks are in trouble, or deflation is an issue. I don’t know many people that want this
... See moreCount Draghula • Low Interest Rates Don’t Drive Up Asset Prices – Governments Do
Xi’s growing emphasis on making China economically self-sufficient—a strategy that is itself a response to perceived efforts by the West to isolate the country economically—has increased, rather than decreased, the pressures leading to overproduction. Moreover, efforts by Washington to prevent Beijing from flooding the United States with cheap
... See moreZongyuan Zoe Liu • China’s Real Economic Crisis
China's leader, Xi, is focusing more and more on making sure China can take care of its own economy. This change is happening because he feels that other countries, especially in the West, are trying to cut China off economically. As a result, China is producing too much stuff, more than it can sell. Meanwhile, the U.S. government is trying to stop China from sending a lot of cheap products to America, but this might just create new problems for the U.S. economy. Instead of solving China's problem of making too many goods, it could make that problem move to other countries around the world.
Nowhere did he question the position of the dollar, and by default US policy makers appears to accept that it could decline further. Given that many rival economies set their monetary policies to maintain parity with the US dollar, Fed easing and a weaker US exchange rate will likely spur easing across international markets.