Jim Rogers: US more socialist than China

[20000miles]

Problems came from socialism what ?! Do you even know what this recession is about ? if anything nationalization In Britain anyway has saved the free markets backside in the form of Northern rock. What did you want to do ? let all this plummeting companies have more freedom to f**k up the economy ? Look at XL look at Bern Sterns . The free market got us into this mess and you can go walk with the blind if you think its going to get us out .

On the issue of China this is stupid , which one is more "socialist" their both (IMO) capitalist states simple as . But China have more State control so by petit logic wouldn't that make them more "socialist" ? .

Here is where you are wrong. Large companies always know that they will receive a bailout from the government if and when they fail. This is called a moral hazard. The market is sending us a clear signal that these banks/comapnies have done something really bad and they should fail. The government decides to not listen to the market and spend your money on rescuing - continuing the wholesale transfer from the poor to the rich in the process.

George Bush believes the free-market is at fault too - "Wall Street got drunk" was his analysis. His solution? Bail out the drunkards. Please.

Again, don't blame the free-market when there clearly is no free market.

This recession is a response to the same thing all recessions are about - excessive amounts of money being created and malinvestments occurring. Hardly a free-market problem.

[DAOINE]

I was talking about this with CCP members on Monday. They were trying to argue that China was moving towards a "Harmonious Socialist Society" as espoused by Premier Hu. These people were business people who believed strongly in the present economic model in China as they made a killing last year on the stock market. They said that China can still be socialist in the future but they had no answers. A Communist party in a one party state generally does not have to defend itself and sound bites and buzz words usually work.
In reality in China today if you cant pay for good health care then you will die. Plain and simple. The public health care system ( that you must pay for) is not trusted. Doctors have to be bribed to do a good job. Most people buy their own dental tools to take to the dentist for fear of disease. Also in China the desperation for money and wealth is so strong that people have made fake baby powder that was just glucose with no decent vitamins. This injured 10,000 babies and killed at least 30. This was investigated and the people involved were jailed but yesterday news broke of another much bigger brand doing the same thing. One infant is dead already. The reason I am telling the story about the milk powder is that apart from China being extremely capitalist it is also populated by many people who care little about the consequences of their actions. They are just interested in getting rich. Now that is pure capitalism.

[20000miles]

... apart from China being extremely capitalist it is also populated by many people who care little about the consequences of their actions. They are just interested in getting rich. Now that is pure capitalism.

Countless capitalists have made a fotune using the guns of the State.

That was a very sad story by the way...