What I’m about to write could be controversial for the time we’re living in now. As we all know president Trump’s tariffs on China are the means to push China to negotiate a fairer trade — at least this is how the president promotes to the public. So far China isn’t willing to be a pushover and so they decide to retaliate pound for pound. This means whoever blinks first would lose a lot more in the long run, but in the end, both the United States and China would lose in short-term — well, at least this is how the news programs promote this.
I’m thinking that could tariff be a blessing in disguise for China? How come? China has been known as the factory for the world since they opened up their market and joined the World Trade Organization. This means China can ramp up production of almost anything! As Trump’s tariffs hit China, companies that want to avoid tariffs from the United States and still want to export to the United States would move their operations out of China. Nonetheless, there are Chinese and foreign companies in China that produce the same stuff but have yet to export their products to the United States would find the vacuum suddenly is a lot more pleasant to navigate and do business.
The Chinese government could also be more lenient toward companies that decide to keep their operation within China, thus allowing these companies to prosper while China’s internal consumer market ought to grow bigger in time. Remember Google? Google left the Chinese market a long time ago but now Google has shown signs that it wants to grab a chunk of the Chinese’s huge consumer market. Unfortunately, Google isn’t making much progress in this front and allowing similar Chinese homegrown companies to grow unchallenged within China.
Since Chinese companies that are going to stay in China could ramp up their production unchallenged as the trade war between the United States and China heats up, these companies ought to grow bigger in a more empty but lucrative Chinese consumer market. Perhaps some European companies may want to open up their operations in China to give the Chinese companies some competitions. Anyway, I think Chinese companies could grow unchallenged in their home market and mass produce even cheaper products to saturate the world market even more. In the end, I think trade war could only harm a weaker foe who got no means to fight back and could not ramp up production. In the case of China, I think trade war could be a blessing in disguise for the reasons I surmised thus far.
I’m just wondering! Lately, the headlines are screaming that China is devaluing the Yuan to help cushion the blow of Trump’s tariff on China’s exports to the United States. Although this is a legitimate concern that the headlines raise, I’m wondering if there is another hidden motive for the Yuan to slide.
Could it be that the Chinese government is letting the Yuan slides so the treasury bonds that the Chinese own which Americans are in debt to China could stay valuable? This way China can begin to sell the treasury bonds while the treasury bonds are still valuable. Once China unloads enough of the treasury bonds onto the market, whatever value China receives from such transaction could then be converted to other favorable assets, investments, and currencies.
Of course, China could always convert the selling of treasury bonds into Yuan and then raise the Yuan’s buying power back up to stave inflation — but then it could begin a deflation. How? Well, if too many Yuans that are chasing the same thing could raise the price of whatever, but when the buying power of Yuans get push up the Chinese government then could lend out these Yuans to other countries and International projects such as Belt and Road Initiative projects to stave inflation. A more powerful Yuan could also allow the Chinese to get more bang for the buck whenever they use the Yuans to acquire whatever. Thus they also have to be careful about the deflation.
I’m no economist and so I could be wrong on what I’m suggesting. Nonetheless, I would love to hear other people’s opinions on the suggestion that I’m suggesting. Am I wrong? Am I even close?
I remembered how stressful buying a car was for me. Ten years ago, a car salesman even insulted me for not accepting his deal, and he told me why even bothered to try to buy the car I want in the first place. He said I properly fit better with cheaper cars, but I told him I wanted a better deal for the car I was trying to buy. Anyway, the moral of the story was whether you’re right or wrong on wanting to buy a car you want, dealing with a car salesman can sometimes be very stressful for a car buyer.
That car salesman even suggested I should trade in my old car for the newer one, and when I was done with the calculation according to his deal I noticed that the dealership was trying to swallow my old car without crediting much back into the newer car I wanted to buy. Basically, I sold the old car by placing an online classified car ad and bought the new car through the dealership without doing a trade-in deal. The moral of the story continues, it’s rare for you to be lucky to not have to deal with a dealership and car salesmen that would not want to eat you up alive when you’re trying to buy a car.
Anyway, I like any idea of buying a car without the insults and stress, and so I think I wouldn’t mind buying a car through a giant vending machine like the one that is being suggested in the video right after the break.
Although Alibaba’s giant car vending machine idea seems to be futuristic, but I think it’s just a smarter way of repackaging readily available ideas into a smoother car buying operation. If I understand the video correctly, after you collect your car from the giant vending machine you get to test drive it for couple days. Once you commit to buying the car you could just then pop online and finish up the payment process. This way, you cut out the middlemen like some sleazy car salesmen, and your whole car purchasing process might be smoother and more enjoyable.
A few days ago, a taxi man engaged me in a conversation. He asked if I was ubering someone because he saw me was waiting near his spot. I told him I was not and was only waiting for a friend. The conversation carried on to the point in which he confessed Uber has taken away too many customers from him. He told me once he was making something like thousands of dollars in a week, but now this is pretty much gone.
I didn’t want to make him feel worse, and so I kept my mouth shut about automation. Basically, China is heading this way. More self-driving buses are now out and about in Shenzhen, China. Check out the video on this right after the break.
I think even whoever relies on Uber for driving customers around will eventually lose out to self-driving Uber cars. In fact, I can even imagine up some self-driving car services such as self-driving taxi cabs will be able to mimic a human touch by installing smart, sexy robots that can pretend to drive but could carry on a real conversation with the human customers.
I think the future is all about automation. I think this trend will speed up fast. I think people will lose jobs to automation for sure.
I’m living in an area where greenery isn’t lacking, and so I don’t have to think much about what if there isn’t much greenery around. Probably, somewhere there are places that have gotten so desolated, and so greenery would probably be out of reach.
In China, there are places that either desert sands would eat up greenery or the neglect of environment that would turn greenery area into a dry, desolated man-made scenery.
Would you prefer more trees and lakes and cleaner air than dry, dirty, desolated scenery? I know I would want greenery over a desert for my daily scenery. Unless, of course, from time to time, I want to be in awe and become a tourist, I would love to travel to a desert, but other than such a moment of spark I would love to bathe myself in greenery for sure. After all, more trees would be able to suck out the pollutions that we are creating every day from our vehicles and whatnot. Basically, a healthy dose of greenery each day is a healthy day for a person to live for.
Anyhow, I think China has done something amazing. China is continuing to make progress on creating forests in the most desolated places in China. For an example, Saihanba, North of Beijing was once a beautiful, greenery area where royal family members in Qing dynasty would use as a hunting area, but after Qing dynasty had gotten weak the place got deteriorated for letting people chopping trees down for lumber as a way of making money. Then one day the Chinese people found out the whole place got only one tree left standing. That was when the Chinese were mustered up to recreate the greenery for the place.
Nowadays, Saihanba got 480 million trees standing to let whoever wants to visit the place to take in a beautiful, majestic greenery scene. From one tree to 480 million trees, I think it’s a beautiful thing! What do you think?
According to CIA.gov, China’s arable land is around 11.3%. Most inner China and western peripheral of China, if I’m not mistaken, these areas are not suitable for planting crops. China got many huge deserts too. Some lands in China probably were arable before, but they became desert due to desertification. Nonetheless, Chinese local people who live near such places are trying hard to combat desertification with local ingenuity inventions. Once such place is in Inner Mongolia. A city named Erdos, in Inner Mongolia, has successfully combat desertification by turning sand into soil to retain water better and create a beautiful forest of trees. Their new technology allows them to plant and grow crops in the desert, turning the desert into arable land. I think this is amazing because, with this technical know-how, China can help educate other countries that are facing similar problems. With more arable lands than before, I bet China would be able to grow more crops to feed more people within China. Check out the video right after the break to get more details on this.