“This Note Is Legal Tender For All Debt, Public And Private In America” (In China it is an asset)
The number of unemployed for every 100 Americans in April came in at about 8-and-a-tenth on the Friday before Cinco de Mayo. The same number in China, the other large “province” of America – besides Alaska, United Kingdom, Ireland, Greece, Spain and Italy – is about one half of 8-and-a-tenth or 4.1 per cent.
The country did not create as many jobs in the contiguous United States. About 115,000 people were payrolled when 250,000 ought to have been as a monthly average if the 48 states are to return to pre-2007-recession levels of employment. Total number of unemployed persons in the nation-state of the United States is 12.5 million out of a population of 315 million. Those in the Chinese province of America are about 21 million Chinese out of a population of 1.3 billion.
The General Theory of Employment, Interest and Money is not working in America or any of its other large non-contiguous “provinces.” John Maynard Keynes is working well in China – wearing the mask of Milton Friedman’s Chinese awakening.
China out of its “Great Depression” since Mao Ze Dong’s Cultural Revolution in the Chinese sixties (there was a cultural revolution in the contiguous United States also at the same time) after millions have been “lifted out of poverty” since the Clinton-1990s. After all Mao and Bill share cultural revolutions between them, between Peking and Woodstock, and the Pacific Ocean in search of Buddhist pacifism in the guise of Confucian evangelism. Marx and Keynes came later. And Milton Friedman much later.
Neighbors in contiguous American states are concerned. The Federal Reserve has forecast around 2% inflation to tolerate gradually lowering unemployment in the non-Keynesian America where government investment is not giving the bang for the buck but is breaking the buck. In China, inflation is about 4%, the same as its level of unemployment after having gradually gone down since Keynes gradually superseded Marx as Peking transformed to Beijing by 2006 from 1966, akin to the sunrise in Reagan’s America by 1986 after 1966.
Jobs are paying well in Chinamerica, quality is getting better and savings to income ratio is high. In America, jobs don’t pay well for the bottom 80 percent, quality is non-negotiable (take the work you can get is the American mantra of job creation) and debt to income ratio is high.
Chinamerica has the money and America bears that liability.
Interest in Chinamerica is high (People’s Bank of China’s reserve requirement is high) and interest in America is low (Federal Reserve or the Wall Street Bank of America’s reserve requirement is low).