Youtube video on Aus, China and USA

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This is the fifth video from an inter­view by Ben­ny Sut­ton:

It’s less ana­lyt­ic than my usu­al effort–I don’t have the data to be an “expert” on Chi­na, and I doubt that I’d trust the data all that much even if I did have it. But I reflect on what could hap­pen to Aus­tralia if Chi­na’s cur­rent boom proves to be dri­ven by poor­ly direct­ed cred­it, and dis­cuss Chi­na’s very delib­er­ate and suc­cess­ful pro­gram of indus­tri­al­iza­tion in the last 3 decades, where pre­dom­i­nant­ly US cor­po­ra­tions were encour­aged to relo­cate tech­nol­o­gy and pro­duc­tion to Chi­na. The Chi­nese ensured that there was the devel­op­ment of a viable cap­i­tal­ist class, as well as a growth in employment–unlike many oth­er devel­op­ing nations fol­low­ing export-ori­ent­ed indus­tri­al­iza­tion strategies–by requir­ing for­eign ven­tures to have a local part­ner, and trans­fer­ring a large slab of the own­er­ship to that part­ner over time.

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About Steve Keen

I am Professor of Economics and Head of Economics, History and Politics at Kingston University London, and a long time critic of conventional economic thought. As well as attacking mainstream thought in Debunking Economics, I am also developing an alternative dynamic approach to economic modelling. The key issue I am tackling here is the prospect for a debt-deflation on the back of the enormous private debts accumulated globally, and our very low rate of inflation.