Friday, December 19, 2008

A Lesson In Humility

It's painful reading this from the creditors of the United States. In the Atlantic, Gao Xiqing, president of the China Investment Corporation, dishes out his opinions and advice to the US. Unfortunately, you have to listen to your meal ticket.

The simple truth today is that your economy is built on the global economy. And it’s built on the support, the gratuitous support, of a lot of countries. So why don’t you come over and … I won’t say kowtow [with a laugh], but at least, be nice to the countries that lend you money.

Talk to the Chinese! Talk to the Middle Easterners! And pull your troops back! Take the troops back, demobilize many of the troops, so that you can save some money rather than spending $2 billion every day on them. And then tell your people that you need to save, and come out with a long-term, sustainable financial policy.


The current conditions can’t go on. It is time for the new government, under Obama or even McCain, to really tell people: “Look, this is wartime, this is about the survival of our nation. It’s not about our supremacy in the world. Let’s not even talk about that any more. Let’s get down to the very basics of our livelihood.”

These reflections are about as welcome as a kick in the teeth. But this is what happens when the debt piles up. Expect more of this kind of talk.


  1. I am sure there was a lot of good advice to be heard in England during the 1920s. Probably a lot of good suggestions were made as the Roman Empire declined. But nothing changes, the slide will just continue. You see this with companies as well. A&P, Woolworths, Eatons, they talk about adjusting to the new conditions, but nothing changes. They slowly fade away.

  2. Yeah, we're just buying time. Hopefully one more Emperor Marcus Aurelius to improve things before the ultimate collapse.

  3. For whatever reason, you're erring on the side of negativity. Are we heading to a new dark ages? Is the world going to blow up? Who knows... wishing eminent collapse would won't make your life better. Far as I can see, the car is still starting, the sun is rising, etc. Here is a much more reasonable, but equally passionate response to the same article.

    The point is not to be overlord of the world...