Business news without the bullshit

The East is ink that is

Exports shrinking, banks choking

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When Europe sneezes

Manufacturing - even when you're employing slave labor - is a capital intensive business.

To survive, manufacturers needs to have ready access to credit.

Loans are made based on collateral (unless you're Goldman Sachs or an Obama favorite.)

For manufacturers, collateral can come from one of two places: 1) land and building and 2) order book.

What happens when the value of your land and buildings shrink and your order book collapses?

Chinese manufacturers are beginning to find out. Maybe western analysts will get a clue that we don't live in Fantasyland.