Thursday, December 11, 2014

Peter Schiff -- China Has Overtaken the US as the World's Largest Economy








As if we needed more depressing news with the social upheaval, foreign policy failures and a crushing national debt that has just topped $18 trillion, the International Monetary Fund has noticed that the U.S. is no longer the world's No. 1 economy. We have slipped to No. 2, behind China, a Communist dictatorship. China becoming the world's largest economy comes as no surprise. In the past two decades, as China moved away from a centralized economy to a communist version of free-market capitalism, it was no longer if China would become the world's largest economy but when. it’s official. The Chinese economy just overtook the United States economy to become the largest in the world. For the first time since Ulysses S. Grant was president, America is not the leading economic power on the planet. It just happened — and almost nobody noticed.

"Our money" is now "their money" because American consumers and businesses buy lots of Chinese products and pay for them in dollars, leaving China with trillions in our currency. They use our money not just for military purposes but also to buy U.S. bonds to underwrite our annual deficits. That is a dangerous combination, which is why I have said the greatest threat long term to U.S. security is China, not radical Muslims.

China May Dump Dollar Unfortunately, things are changing at a pace that is much faster than most people ever thought possible. The following are 26 other ways that China has surpassed America…

#1 When you add up all imports and exports, China now accounts for more total global trade than the United States does. #2 There is now more total corporate debt in China than there is in the United States. #3 During 2013, we sold about 121 billion dollars worth of stuff to the Chinese, but they sold about 440 billion dollars worth of stuff to us. That was the largest trade deficit that one nation has had with another nation in the history of the world. #4 China is now the leading manufacturer of goods in the entire world.
  #5 Back in 1998, the United States had 25 percent of the world’s high-tech export market and China had just 10 percent. Today, China’s high-tech exportsare more than twice the size of U.S. high-tech exports. #6 The United States had been the leading consumer of energy in the world for about 100 years, but during the summer of 2010 China took over the number one spot. #7 China now has the largest new car market in the entire world. #8 China has more foreign currency reserves than anyone else on the planet. #9 China is the number one gold producer in the world. #10 China is also the number one gold importer in the world. #11 15 years ago, China was 14th in the world in published scientific research articles. But now, China is expected to pass the United States and become number one very shortly. #12 China is also expected to soon become the global leader in patent filings. #13 China awards more doctoral degrees in engineering each year than the United States does.

#14 China has the world’s fastest train and the world’s most extensive high-speed rail network. #15 China uses more cement than the rest of the world combined. #16 Today, China produces nearly twice as much beer as the United States does. #17 85 percent of all artificial Christmas trees are made in China. #18 There are more pigs in China than in the next 43 pork producing nationscombined. #19 China is now the number one producer of wind and solar power on the entire globe.

#20 China produces more than twice as much cotton as the United States does. #21 China produces more than three times as much coal as the United States does. #22 China now produces 11 times as much steel as the United States does. #23 China controls over 90 percent of the total global supply of rare earth elements. #24 An investigation by the U.S. Senate Committee on Armed Services foundmore than one million counterfeit Chinese parts in the Department of Defense supply chain.




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“Control oil and you control nations; control food and you control the people.” Henry Kissinger


once a standing army is established, in any country, the people lose their liberty.”
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