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It has nothing to do with China being autocratic or not, it's simply a very volatile market. The Chinese stock market is still UP for the year, and 20% is just

It has nothing to do with China being autocratic or not, it's simply a very volatile market. The Chinese stock market is still UP for the year, and 20% is just correction territory, it's not close to a "disastrous" thing considering how quickly and how much it has gained recently. In fact, one may even argue it's healthy.

drzaiusapelord 11y ago
I'm certainly not suggesting its some great depression, but clearly its note and newsworthy and this article reflects that. Why the protesting about the article? What exactly is the problem? In autocratic regimes state media's job is rally stocks and, yes, the lack of which is very telling, which is what this article is about. Again, what exactly is the problem here? If this was any Western economy, HN'ers wouldn't be falling over themsleves trying to dismiss it as sensationalist, especially when you consider the endless parade of anti-US sensationalism that often dominates this site and its collective narrative.
- codesushi42 11y ago
  Because Western economies have been in dire straits for over a decade. A drop like that would be significant and unlikely to reverse. The West has no economic growth engine to fall back on. China has had so much astronomical growth that this drop doesn't undo all of that overnight. If it continues, and it may very well, then you have a story. Also, it's not good to create fear in the general public which is another reason to downplay this. If it's met with hysterical headlines, then the event of a crash in the global markets will be a self fulfilling prophecy. Markets react to group psychology and FUD in the general public.
  - gscott 11y ago
    I just read that China has 21 trillion in their banks from people saving. It feels to me China has so many resources that they are unstoppable. Banks lend 10x the assets they have so that is 210 trillion available to lend. Not to mention the assets that the government has itself. There are so many state or partially state owned businesses that they can sell parts of. Even the debts of creating whole cities, it just doesn't seem to me that there is going to be any sort of damper on what China does. Especially with everyone wanting to throw money at them to get into business there.

drzaiusapelord 11y ago

I'm certainly not suggesting its some great depression, but clearly its note and newsworthy and this article reflects that. Why the protesting about the article? What exactly is the problem? In autocratic regimes state media's job is rally stocks and, yes, the lack of which is very telling, which is what this article is about. Again, what exactly is the problem here? If this was any Western economy, HN'ers wouldn't be falling over themsleves trying to dismiss it as sensationalist, especially when you consider the endless parade of anti-US sensationalism that often dominates this site and its collective narrative.

codesushi42 11y ago
Because Western economies have been in dire straits for over a decade. A drop like that would be significant and unlikely to reverse. The West has no economic growth engine to fall back on. China has had so much astronomical growth that this drop doesn't undo all of that overnight. If it continues, and it may very well, then you have a story. Also, it's not good to create fear in the general public which is another reason to downplay this. If it's met with hysterical headlines, then the event of a crash in the global markets will be a self fulfilling prophecy. Markets react to group psychology and FUD in the general public.
- gscott 11y ago
  I just read that China has 21 trillion in their banks from people saving. It feels to me China has so many resources that they are unstoppable. Banks lend 10x the assets they have so that is 210 trillion available to lend. Not to mention the assets that the government has itself. There are so many state or partially state owned businesses that they can sell parts of. Even the debts of creating whole cities, it just doesn't seem to me that there is going to be any sort of damper on what China does. Especially with everyone wanting to throw money at them to get into business there.