Why does the crisis-seeking left want the economy of China to fail? Simple, because:
In the late 70’s, China rejected Maoism and the Cultural Revolution, becoming a ‘Communism in name only’ type country, allowing for the proliferation of thousands of successful companies, eventually becoming the second largest economy in the world, with many billionaires and a growing middle class. The post-70’s Chinese economic success story kicks dirt on the left’s beliefs that redistribution and egalitarianism is better than the meritocracy and the free market – it’s not. So if China’s economy fails, it will ‘vindicate’ the left, although a brief setback is hardly a repudiation of decades of capitalism success.
Second, Chinese millionaires & billionaires are buying up expensive Bay Area real estate and their children are attending America’s most prestigious colleges, and this makes the left envious and mad. The left hates the sight of these successful, ambitious people running circles around them.
The left couldn’t care less about human rights violations committed by Islamic fundamentalists, but they get in all worked up over Apple’s China factory working conditions.
So right now, China slightly debased their currency, and the SSE Composite Index, which is up over 100% between 2014-2015, gave back some of those gains, and now the left is elated, after over a decade of waiting and thousands of failed predictions, that the long-awaited Chinese collapse is here. Finally, they the liberal doom and gloomers, who pretend to be pro-minority except for the Chinese, will be right, or so they hope. But all too often ,as we’ve seen in the past with all the other failed predictions since 2009 about bear markets and recessions, that this Chinese setback will only be that – a setback, not a crisis.
Again, you have to have to put things in perspective, which is a main focus of this blog – separating reality from the hype of the useless, ad-powered media. The SSE Composite Index, the main stock index of China, gained a mind-blowing 150% from July 2014 to June 2015, a period where pretty much every other major stock market in the world was flat. Anyone who follows stocks knows that such large, uninterrupted gain are unsustainable, regardless of fundamentals. Pullbacks, especially after such a big move, are inevitable, and are not in any way proof of underlying economic weakness. In 1987, after a huge bull market that began in 1982, the S&P 500 crashed 30% in a single week, giving back some of its post-1982 gains; did that mean the US economic & stock market boom was over? Hardly, it was just in the 4th inning or so, and the boom would continue up until the late 90’s. What we see is a confirmation bias by the media to look for any shred of evidence, however small, to validate their China-is-doomed narrative. For all the pundits who say that the China stock market bubble has popped, what will happen if it makes a new high – which is actually not that far away – would that invalidate your entire thesis, and it’s back to the drawing board again? The liberals that pride themselves on fact-checking and who lambaste Fox News for supposedly being inaccurate, apparently don’t apply those same high standards in their coverage of China or the police. To the left, ‘Black Lives Matter’ can do no wrong, and the police are always wrong.
But what about other countries? The left isn’t predicting doom and gloom for Brazil, Canada, Australia, Turkey, or Venezuela, all of which are in much worse economic shape than China. All the oil exporters are being rattled by plunging oil prices. It’s part of the liberal tendency to always favor the underdog, whether it’s global economies or special education funding taking precedence over gifted education.
Ultimately, whether it’s China, IQ, the wealthy, web 2.0, or successful companies like Apple, Uber, Walmart, Starbucks, Amazon, or Facebook – just like you cannot have a picnic without the ants, you cannot have success without the left attacking it.