Q&A #219
@Albertletoride-hz7oj: Who are the suckers on the other side of the yen carry trade? Jap depositors? If China had no capital controls, do you think it would see capital outflows and currency depreciation, like Japan? @cmac855: Money creation is not the problem. The way Money is being spent is… what can be done to increase growth of the world economy so it surpasses return on investment?@cmac855: If ROI > G ….. a K economy will develop until destruction of wealth takes place. @cmac855: And at that point the rich eat the rich and creative destruction will take place. @dubiousdandy904: China NBS Industrial Production data and inventory financing: If narrow industrial goods can't be sufficiently export dumped, might inventory financing exacerbate an already weak banking sector? @dubiousdandy904: Would the low breadth of China industrial products (e.g., AI-related goods) also mean the credit products financing those goods lack breadth? During a bubble upside, nobody cares about breadth. @scottkennedy5768: tracking to understand economic regime and which quadrant this could identify was super useful framing this week!
