Oh it’s entirely correct.
China’s procurement of port control, shipping, and government subsidy for export is why the tax war exists between us and china. That entire piece of the “Silk Road and belt” initiative covering trade, knowledge and financial investment.
China has been spending way above what the GDP allows, thus there is an urgency to complete before monetary need to reduce investments will defund subsidies. Part (along with silicon) of the reason for the militarisation and land grab within the south china seas/tiawan.
Perhaps we’re getting onto the political subjects now. However there is a lot of economic “poop” that is build up and for the UK that’s going oh it for the next 5 years pretty shortly.
Last edited:
It is not the end of capitalism, it is the end of Humanity ...
I propose to delete the thread "And what did you buy today ? ", And replace it with "who did you help today ? " 🙂
Frankie the Dinosaur has a message for Humanity - YouTube
I propose to delete the thread "And what did you buy today ? ", And replace it with "who did you help today ? " 🙂
Frankie the Dinosaur has a message for Humanity - YouTube
😱 😱 😱
You give me, or anybody trying this WAY too much credit 😱
I´m not talking Tesla or Apple or Samsung level products 😀
When I said anything, I meant anything: fluo panties, boards with something electronic built on them, eyeglasses with built in wipers for rainy days, Peppa Pig shaped kid´s trays, embroidered caps, magnetic drinking water "energizers", anything somebody might spend a few bucks on.
No need to manufacture anything yourself, just get a supplier or even buy over the counter, advertise on AliBaba or EBay or .... , get orders, package your product which may be as simple as putting it in a padded bubble envelope and ship it.
Of course, spend $5, charge $10: Capitalism at its best.
Can anybody do that in China?
YES
By day you work as a legal slave at somebody else´s Factory, who only by sheer chance (maybe 5%) is State owned , 95% of the time will be private (yes, Capitalistic) Chinese or even Foreign money, but you reach home, turn the computer ON, browse orders and organize shipping, charging, procuring products, etc.
If even remotely successful, you can quit your day job and 100% become seller/owner on your own.
Why?
Because everything is engineered your way:
* cheap capital,
* cheapest in the World goods,
* good (commercial level) quality products in abundance, at least good enough to sell, both of quantity and variety
* CHEAP SHIPPING , 1/10th what it would take by using Coui3r or even Post services.
This is being stopped (at last) because of Chinese abuse of every Country´s Post system, specially US Post which let them US taxpayers front most of the bill (that´s why "free shipping" almost disappeared in the last year)
* nobody insists on you meeting official health/hazard/safety/wage/work hours Law (although it DOES exist in the books)
* as a (vital) Bonus: Chinese Government aggressively signs and enforces Commercial Treatys with all Countries, favorable to them.
So I stand on my belief that Capitalism is alive and well and THRIVING inn China, big time.
Those here who have some kind of Sales/Distribution/Manufacturing operation running will recognize all the telltale signs.
And for the Nth time: this is not "Politics" but Economy or even better, "Entrepreneurship 101"
Make up yourselves an example, say: you want to build and sell a 5W + 5W 2 x EL84 + 2 x 12AX7 Class A stereo amp, as easy and generic product as can be.
Compare making it in USA or EU to making it in China.
You´ll need to source:
* cut/punched/folded/soldered/painted/silkscreened chassis
* power and output transformers
* tubes
* PCBs
* electronic components, including HV electrolytics
* hardware, including sockets, switches, connectors, IEC socket, mains cable, etc.
* maybe a "wooden" cabinet (even if vinyl covered MDF)
* brochure, warranty, packing materials, a good sturdy cardboard case to survive shipping, etc.
* plus an actual shipping Company which does not murder you with shipping costs.
Now add up everything and compare Chinese vs. US/EU "numbers".
Tell me which will be easier to sell.
I rest my case.
Yeah, I heard on the radio here the other day that some Economy experts where anticipating a 20% growth because of everything reopening. Don't understand what planet they are on, EVERYTHING is more expensive now, many people I know are struggling. Heating and electric power is going through the roof, food is more expensive. Glad the freezer is full, and sometime later this week my new bedrock based heatpump will start heating up our house.
I had to sit down with my wife when she started questioning the costs and my motivation for installing this thing, merely told her that: "As it is right now, I do not know whether we will be able to pay our heating bills in february."
It was a short discussion after that, now she's onboard with it, and saying to her friends (with much larger bills, some have currently 10 000 NOK/month) that we where anticipating the situation.
10 000 NOK = 1185 USD = 1024 EUR = 865 GBP at the time of writing.
I am practically betting my mortgage on increased inflation, odds seem "good enough" and the alternative is completely unliveable conditions.
Many people have their backs against the walls, they just don't know it yet.
That was propaganda.
It was obvious to me, we were going to pay the bill when everything was to reopen.
Now, is time to pay the bill, for all the magic money they found and sprinkled freely.
It looks like the official inflation rate for the US is going to be around 6% for 2021. Of course the real inflation rate experienced by consumers is higher; there was at least one month where the "real" inflation rate was around 6% just for that month.
Classical economic theory says that matching the money supply to demand produced a stable currency. In other words, if population increases, then an increase in the money supply is justified. Same goes for other instances of increased economic activity. Increasing money supply without a correlating increase in demand is claimed to be inflationary, and in the real world this is pretty accurate.
On the world market, the US Dollar behaves like a commodity, responding to supply and demand. It is a complex financial instrument; its demand goes up and down with things like the price of oil, because it is a world reserve currency and most countries in the world have it in their portfolio and use it to buy commodities like oil. In fact, Nixon "fixed" the falling dollar by setting up the agreements that are still more or less followed today for oil purchases. This not only stopped the spiraling dollar from further devaluation, but made the US Dollar into a more complex (and important) financial instrument and provided an enormous buffer for more money creation.
The "stimulus" packages provided during the quarantine were unprecedented. Before when money was created, it went straight to the banks, which lent it out and circulated the money. Every time the money changed hands, it was devalued. By the time Joe the Plumber got his share, the money had been significantly devalued, while big corporations got to use the money when it was valued higher. But for the first time in history, the consumer got the money directly, before it was devalued. This subtle point was completely lost on most people I think, but it was a significant (if small) power shift. I'm sure the bigwig powers did notice this and didn't like it, and the propaganda (ahem I mean news) reflects this.
Classical economic theory says that matching the money supply to demand produced a stable currency. In other words, if population increases, then an increase in the money supply is justified. Same goes for other instances of increased economic activity. Increasing money supply without a correlating increase in demand is claimed to be inflationary, and in the real world this is pretty accurate.
On the world market, the US Dollar behaves like a commodity, responding to supply and demand. It is a complex financial instrument; its demand goes up and down with things like the price of oil, because it is a world reserve currency and most countries in the world have it in their portfolio and use it to buy commodities like oil. In fact, Nixon "fixed" the falling dollar by setting up the agreements that are still more or less followed today for oil purchases. This not only stopped the spiraling dollar from further devaluation, but made the US Dollar into a more complex (and important) financial instrument and provided an enormous buffer for more money creation.
The "stimulus" packages provided during the quarantine were unprecedented. Before when money was created, it went straight to the banks, which lent it out and circulated the money. Every time the money changed hands, it was devalued. By the time Joe the Plumber got his share, the money had been significantly devalued, while big corporations got to use the money when it was valued higher. But for the first time in history, the consumer got the money directly, before it was devalued. This subtle point was completely lost on most people I think, but it was a significant (if small) power shift. I'm sure the bigwig powers did notice this and didn't like it, and the propaganda (ahem I mean news) reflects this.
My explanation is greatly oversimplified. For example, when I say the money goes straight to the banks, the reality is that some of the created money goes to payments for government contractors, relief packages and aid (both local and foreign), and probably some stuff I can't think of.
But my point that until recently the average Joe was dead last in line to receive the money still stands. "Trickle down" economic theory has become a religion in this country, and the powers that be have every Cletus and Billybob singing its praises. Yes I am embarrassed by my fellow countrymen.
But my point that until recently the average Joe was dead last in line to receive the money still stands. "Trickle down" economic theory has become a religion in this country, and the powers that be have every Cletus and Billybob singing its praises. Yes I am embarrassed by my fellow countrymen.
Sorry, not double posting but keeping separate comments on some answers, specially including those brave warriors who STILL keep manufacturing under "our" less favourable system.
And that is an understatement.
Personally I manufacture and sell Guitar Amps BUT:
* most important: have a recognized BRAND and you can´t overstate enough what that means.
Achieved by equipping all the major National Rock Bands from the 70's 90´s, and a sizable quantity up to this day, that adds desirable "pixie dust" to my products. That alone is worth Gold.
* simple minimalistic designs which keep working for decades.
Flashy "trick" imported stuff self destroys or become riddled with problems after a couple years, while mine keep going on and on and when something fails, is easily repaired or replaced.
Since the late 70´s power amp+supply module has varied in circuit details but all keep the same footprint relative to the 2mm aluminum back panel which is also the heatsink, bolted to it with 2 screws, separated by 50mm, so it´s easy to remove old module, clean dried up grease, wipe a little fresh one and attach new module.
Of course all can be repaired at component level..
That "always working/repairable" feature has been a powerful sales helper ... try that with Chinese stuff 😀
I bet you can work one on one with your Customers, send somebody to address problems in the field or adjust design/settings to particular needs.
Don´t ask me how I know THAT 🙄 😡
And that is an understatement.
THAT.
Personally I manufacture and sell Guitar Amps BUT:
* most important: have a recognized BRAND and you can´t overstate enough what that means.
Achieved by equipping all the major National Rock Bands from the 70's 90´s, and a sizable quantity up to this day, that adds desirable "pixie dust" to my products. That alone is worth Gold.
* simple minimalistic designs which keep working for decades.
Flashy "trick" imported stuff self destroys or become riddled with problems after a couple years, while mine keep going on and on and when something fails, is easily repaired or replaced.
Since the late 70´s power amp+supply module has varied in circuit details but all keep the same footprint relative to the 2mm aluminum back panel which is also the heatsink, bolted to it with 2 screws, separated by 50mm, so it´s easy to remove old module, clean dried up grease, wipe a little fresh one and attach new module.
Of course all can be repaired at component level..
That "always working/repairable" feature has been a powerful sales helper ... try that with Chinese stuff 😀
I bet you can work one on one with your Customers, send somebody to address problems in the field or adjust design/settings to particular needs.
Your main problem will not be the Chinese themselves, who may not even be aware of your existence or Italian market needs, but another Italian who knows the market, your customers, who might even be a competitor, ex partner or employee, etc. who takes one of YOUR products and travels to China to have it duplicated. 😡
Don´t ask me how I know THAT 🙄 😡
Last edited:
So true, so true. So much modern stuff is just so crappy and cheap that even if you can fix it, why bother?
I've fixed a few vacuum cleaners in my day. I repaired my old vacuum cleaner about a year ago, and it was barely worth it. Then it broke again a couple months ago. I opened it up and the plastic turbine was broken. It went straight in the alley. I bought a new vacuum cleaner and boy do I miss the old one. It barely does anything. I'm sure it will break sooner rather than later.
I remember my Pinto from college. This was considered a super cheap car back then, but nonetheless I drove it 5 years and over 200,000 miles and it still ran. Furthermore it was so simple to maintain and repair; it was the Model T of the 1970s. The last couple vehicles I've owned were Subarus and while they were really nice, they were really expensive to repair (and I did all the work) and neither one made it close to 200,000 miles before becoming impractical to repair. And I suspect that cars now are even worse; the purchase price alone makes me shudder and I know the repairs are astronomical. No thanks.
Just as an example of the Capitalism and China problem, this is being NOW discussed in another thread:
can this be made in US/Europe at any remotely comparable price?
or .... at all?
W-KING D8 50W Outdoor Portable TWS Bluetooth Speaker 8000mAh Battery Rich Bass | eBay
just look at the complex plastic cabinet, and imagine the injection dies and tooling needed for it.
Yes, that alone can be done (I´m thinking European car plastic instrument and dash panels) ... I shudder thinking at cost:
yet "somebody" in China invested Capital to design and make these, in quantity, I guess a lot of Engineering went into it, including custom speakers, good battery power supply, Bluetooth module, certainly lots of DSP processing to dynamically optimize everything ... all for U$98 retail price.
And they must be selling a lot and earning good money or they wouldn´t be offering it.
And this is just a drop in the ocean.
can this be made in US/Europe at any remotely comparable price?
or .... at all?
W-KING D8 50W Outdoor Portable TWS Bluetooth Speaker 8000mAh Battery Rich Bass | eBay
just look at the complex plastic cabinet, and imagine the injection dies and tooling needed for it.
Yes, that alone can be done (I´m thinking European car plastic instrument and dash panels) ... I shudder thinking at cost:
yet "somebody" in China invested Capital to design and make these, in quantity, I guess a lot of Engineering went into it, including custom speakers, good battery power supply, Bluetooth module, certainly lots of DSP processing to dynamically optimize everything ... all for U$98 retail price.
And they must be selling a lot and earning good money or they wouldn´t be offering it.
And this is just a drop in the ocean.
I had a Pinto.
Cheap POS, had very little power and was generally not fun to drive. It did for forever on a tank of gas.
It did get rear-ended one night after my brother ran it out of gas. It was on the side of the road when a drunk hit it. That was a blessing for me.
With normal electronic components being discontinued at an accelerated rate, "right to repair" is becoming a moot point. I can see a not too far in the future where we are just simply done. Our planet cannot support this business model folks.
Cheap POS, had very little power and was generally not fun to drive. It did for forever on a tank of gas.
It did get rear-ended one night after my brother ran it out of gas. It was on the side of the road when a drunk hit it. That was a blessing for me.
With normal electronic components being discontinued at an accelerated rate, "right to repair" is becoming a moot point. I can see a not too far in the future where we are just simply done. Our planet cannot support this business model folks.
Sure. It wasn't fun to drive compared to the cars I've owned since college. But I drove it from Toronto to Texas, New York to Chicago dozens of times, New Orleans to Chicago dozens of times, California to I don't remember any more... and that was fun. And I worked and made good money, went to two universities, and... had fun.
My Subarus were (obviously) in another class and were, without a doubt, fun to drive. Driving in blizzards while half the cars on the road were in the ditch, was without a doubt a thrilling driving experience. You can drive them 40 mph in three inches of snow, what a gas!
But I can guarantee you that I had a whole lot more fun while I was driving my 1977 Pinto. I bought it at 18 to go to college with 20,000 miles for $2000. I drove it until I was 22-23. I was a very busy boy. Definitely the most fun time of my life.
My Subarus were (obviously) in another class and were, without a doubt, fun to drive. Driving in blizzards while half the cars on the road were in the ditch, was without a doubt a thrilling driving experience. You can drive them 40 mph in three inches of snow, what a gas!
But I can guarantee you that I had a whole lot more fun while I was driving my 1977 Pinto. I bought it at 18 to go to college with 20,000 miles for $2000. I drove it until I was 22-23. I was a very busy boy. Definitely the most fun time of my life.
Very disappointed when Kumho changed the tread pattern of my favourite tire a number of years ago. Didn't last more than about 80,000 km but I could go 100kmph in 6" snow on the 401 in my full size Chev Express van. Pass everybody like they're standing still with a 10' rooster tail. The tread pattern was just knobbies like on a dirt bike. Now that was a hoot! 😀
Early 90s. The advent of the PCs and the beginning of the electronics mass manufacturing in China.
The CD-ROM, low speed at the time, x2 I think. Though a 5.25 internal unit still had mechanics, steel case, a motor, a laser diode, some optics, a board with electronics, buttons, etc… A Chinese manufacturer was selling these, in medium quantities (I think it was a 1K MOQ) for the whopping amount of $5 a pop.
Today, I still don’t understand how that was possible.
The CD-ROM, low speed at the time, x2 I think. Though a 5.25 internal unit still had mechanics, steel case, a motor, a laser diode, some optics, a board with electronics, buttons, etc… A Chinese manufacturer was selling these, in medium quantities (I think it was a 1K MOQ) for the whopping amount of $5 a pop.
Today, I still don’t understand how that was possible.