Nixon promised the action would be temporary in order to “defend the dollar against the speculators,” but this turned out to be a lie.
2023 - China
Meanwhile, some people with ulterior motives are trying to create chaos and profit from it, with various types of speculators trying to either smear China’s financial industry in an attempt to undermine global confidence in China’s investment market and cause financial turmoil in China.
Standard economic theory always taught that speculators helped steady markets by buying when prices were low (stops the price going lower) and selling when prices are higher (stops the price going even higher). Mind you, those in charge these days don’t seem to have any idea of economic theory!
But, practically, how does that work? The crux is that the insane real estate construction was serving as Chinese main investment pool
local government entities became deeply dependent on selling, often on time terms, land they controlled to the speculative Real Estate developers
The speculative Real Estate developers cash flow was household savings of a huge part of the newly middle class Chinese population, for whom it was their retirement social security and piggy bank for their children, the majority of whom are headed towards retirement with only one child per couple as a backup economic support
the Chinese Communist Party aided and abetted the madness, and crazily deeply devalued their nation’s international income by backing Putin and getting booted from international trade at exactly the wrong moment
The CCP is headed towards a very dangerous legitimacy crisis, seen throughout Chinese cultural history as “Losing the Mandate of Heaven”
and that is very very bad news for the current “Emperor” and his court.
I know I know! China has a peasant revolt that then sells itself to the overseas Chinese of Taiwan and Singapore, who clean up the financial mess, unite the Chinese people, and drive forward towards a glorious future!