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China: The bubble to end all bubbles

Hidden in plain sight

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"There is no way to grow out of this problem"

Lend me a billion dollars and I can be a billionaire too...until it's time to pay it back.

Then the question will be did I put the money in a place where I get a return...and where the money returns at all.

If not, there's going to be a little problem.

While the world cheered - because the world needed to sell China commodities and other things at high prices to stay afloat - China went on a borrowing spree that is unmatched in world history.

John Law was a timid amateur in comparison.

This is not to take anything away from the accomplishment of the Chinese people. Given the chance, they carried out a building boom like no other.

How the loaned money is going to be repaid is another question.

But like I say about least they'll have some fancy ruins to live in.

But don't ask for whom the bell tolls. Keep in mind the Chinese sleight of hand act has been the thing holding the whole global financial system together.

Commentary from:

Henry Paulson ,former American treasury secretary
Lord Adair Turner, former chairman of the FSA,
Charlene Chu, a leading Chinese banking analyst,