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> with complete disregard on how the stock market might react. I personally regard this as a positive fact, and I'm generally against the policies of the curre

> with complete disregard on how the stock market might react. I personally regard this as a positive fact, and I'm generally against the policies of the current Chinese authorities. The stock market should not be the be-all and end-all of our modern society.

fighterpilot 5y ago
It's bad because the "stock market" that people focus on are typically indices of only the largest companies, such as the S&P 500 and Nasdaq. If the concern is around performance of these particular indices, it can lead to more policies that favor large business at the expense of the small.
deleted 5y ago
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- deleted 5y ago
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aerosmile 5y ago
Does it make sense to have strong principles and not be guided by financial incentives alone? Sure. But would it make more sense to have a solid regulatory framework to start with, as opposed to being loosey goosey for a very long time and then course correcting in a way that evaporates billions in value overnight from domestic and foreign investors? Countries and companies have a lot in common. Consider this analogy: would you want to join a company that has an excellent business model and is poised for strong growth, but the CEO is a nut case and has done several mass layoffs that have completely blindsided internal and external people? I, for one, am happy that China is tripping over itself and will give us a bit more room to breathe and figure out our own mess, so that when the inevitable takeover of Taiwan and all the other shit storms happen in the future, we'll be at least a tiny bit more prepared.
- birdyrooster 5y ago
  All we can do now is hope the Taiwanese don't ratify their constitution to get rid of their claims to mainland China. If they can manage to stay the course, the US will remain unentangled with Taiwan's fate.
  - birdyrooster 5y ago
    Amend*
- sudosysgen 5y ago
  It's not possible to have a solid regulatory framework from the beginning. You can't predict the advance of cutting edge tech. Sure, you can do it earlier, but never from the start. Also, billions of dollars of value didn't disappear overnight. No jobs are or will be lost, and very little utility is lost, except being able to sign up for 1-2 weeks. I'm not absolutely thrilled by the rise of China either, but we gotta stop lying to ourselves. Not every single action by the Chinese government is a stupid and reckless calamity that will cause untold harm. We're often blind to the good and to the utility of these decisions, and on the balance a government that's not scared of the stock market is going to be more effective assuming they're competent to begin with.
  - throwaway4good 5y ago
    It is worth noting that SMIC, the main Chinese semiconductor fab is up considerably on a day where the rest of market crashes: https://finance.yahoo.com/quote/0981.HK?p=0981.HK&.tsrc=fin-srch https://finance.yahoo.com/quote/0981.HK?p=0981.HK&.tsrc=fin-... Possibly reflecting China's (new) policy to focus on what it considers "hard tech", instead of social media, fintech, e-commerce.
  - aerosmile 5y ago
    > No jobs are or will be lost, and very little utility is lost, except being able to sign up for 1-2 weeks. Contrast that with the quote from the article: "Shares in Tencent plunged 9.0% in Hong Kong on Tuesday amid widespread market jitters over Chinese regulatory crackdowns on high-growth sectors, including online platforms and, most recently, private tutoring. Hong Kong's benchmark Hang Seng Index (.HSI) fell 4.2%." The stock price may not correlate with short-term budgets, but it absolutely has an impact on long-term budgets. So what the investors will be asking themselves now is: "Is this disruption just a short blip on the radar, or did we just witness a long-term change of the Big Tech landscape in China?" Getting on the shit list of the Chinese government sounds like a long-term problem to me.
CamperBob2 5y ago
The stock market should not be the be-all and end-all of our modern society. And a repressive Communist government should be?
ffggvv 5y ago
very large percentages of the country have stock portfolios, at the very least via a company 401k. when stocks are up they feel richer and spend more money at stores etc.. (the wealth effect) whether or not you agree with this approach, the fed and congress care alot about the stock market for good reason. i just wish it wasn’t all they cared about

fighterpilot 5y ago

It's bad because the "stock market" that people focus on are typically indices of only the largest companies, such as the S&P 500 and Nasdaq. If the concern is around performance of these particular indices, it can lead to more policies that favor large business at the expense of the small.

deleted 5y ago

[deleted]

deleted 5y ago
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aerosmile 5y ago

Does it make sense to have strong principles and not be guided by financial incentives alone? Sure. But would it make more sense to have a solid regulatory framework to start with, as opposed to being loosey goosey for a very long time and then course correcting in a way that evaporates billions in value overnight from domestic and foreign investors? Countries and companies have a lot in common. Consider this analogy: would you want to join a company that has an excellent business model and is poised for strong growth, but the CEO is a nut case and has done several mass layoffs that have completely blindsided internal and external people? I, for one, am happy that China is tripping over itself and will give us a bit more room to breathe and figure out our own mess, so that when the inevitable takeover of Taiwan and all the other shit storms happen in the future, we'll be at least a tiny bit more prepared.

birdyrooster 5y ago
All we can do now is hope the Taiwanese don't ratify their constitution to get rid of their claims to mainland China. If they can manage to stay the course, the US will remain unentangled with Taiwan's fate.
- birdyrooster 5y ago
  Amend*
sudosysgen 5y ago
It's not possible to have a solid regulatory framework from the beginning. You can't predict the advance of cutting edge tech. Sure, you can do it earlier, but never from the start. Also, billions of dollars of value didn't disappear overnight. No jobs are or will be lost, and very little utility is lost, except being able to sign up for 1-2 weeks. I'm not absolutely thrilled by the rise of China either, but we gotta stop lying to ourselves. Not every single action by the Chinese government is a stupid and reckless calamity that will cause untold harm. We're often blind to the good and to the utility of these decisions, and on the balance a government that's not scared of the stock market is going to be more effective assuming they're competent to begin with.
- throwaway4good 5y ago
  It is worth noting that SMIC, the main Chinese semiconductor fab is up considerably on a day where the rest of market crashes: https://finance.yahoo.com/quote/0981.HK?p=0981.HK&.tsrc=fin-srch https://finance.yahoo.com/quote/0981.HK?p=0981.HK&.tsrc=fin-... Possibly reflecting China's (new) policy to focus on what it considers "hard tech", instead of social media, fintech, e-commerce.
- aerosmile 5y ago
  > No jobs are or will be lost, and very little utility is lost, except being able to sign up for 1-2 weeks. Contrast that with the quote from the article: "Shares in Tencent plunged 9.0% in Hong Kong on Tuesday amid widespread market jitters over Chinese regulatory crackdowns on high-growth sectors, including online platforms and, most recently, private tutoring. Hong Kong's benchmark Hang Seng Index (.HSI) fell 4.2%." The stock price may not correlate with short-term budgets, but it absolutely has an impact on long-term budgets. So what the investors will be asking themselves now is: "Is this disruption just a short blip on the radar, or did we just witness a long-term change of the Big Tech landscape in China?" Getting on the shit list of the Chinese government sounds like a long-term problem to me.

CamperBob2 5y ago

The stock market should not be the be-all and end-all of our modern society. And a repressive Communist government should be?

ffggvv 5y ago

very large percentages of the country have stock portfolios, at the very least via a company 401k. when stocks are up they feel richer and spend more money at stores etc.. (the wealth effect) whether or not you agree with this approach, the fed and congress care alot about the stock market for good reason. i just wish it wasn’t all they cared about