I have been pretty bearish on China and not shy about it, but will have to disagree with this article. Of course those ill gotten gains are trying to escape China as they are ill gotten, but then these are people of gov't. As a matter of fact I will even argue that the faster they try to escape the stronger Beijing might be dealing with corruption which IMO Is a good thing in the long run. But at the same time, private business men confidence is also in an all time low not even because of corruption but out right murder of a Chinese property developer and auctioning off his company's assets for 10% of its worth to an SOE.
IMO it will depend on how serious Xi will implement the let the market forces playing a bigger role. If it just hollow words like those of the previous administration, then its over IMO. But for the mean time I still see people trying to do and start business but much less optimistic and much more cautions.
Continuing, I personally am pretty tired of the western world always believing that China is diverting attention by starting trouble around their own borders to "pump" up nationalistic feeling. If anything the higher the Nationalistic feeling the more critical the public becomes of the internal corruption in China, which the western world ignorantly skip or pretend they dont see it. Also China finds the border issues most sensitive of all issues, yet by starting the border issues will backfire more easily, which the western world rightly identify but will put the blame on China playing with fire and that Beijing must be stupid or something like that, while completely ignoring the fact that in many times China only becomes "aggressive" when its provoke which the western world love to ignore or have taken part of provoking.
Just a few days ago the establishment of the ADIZ of China is immidiately used as an example of China diverting attention away from internal issues, read the facts and pretty soon it will be clear that the ones making the most noise are the most hyprocritical. & for Revolutions, 1989 was pretty much the last chance (Young China - i mean the population in general), China is simply getting too old too fast, which is significantly lowering the chance of starting any meaningful revolutions . Of course if they screw up really soon then its still possible, but the longer it drags on the chance of a revolution will simply go much much smaller due to the One Child Policy.
In the end my opinion only, but truthfully speaking (not attacking anyone here) I have simply shunned the mass media (and those that just repeat their same rhetoric) in which increasingly just report bias, ill informed or outright lies in the report notably the so called western free press which should be held in much higher regards since they always love to hype up the label "free press". Increasingly I find that there really is no difference between most of the free press and the so called state controlled media of China, Russia, etc (selective reporting of facts, hype up of insignificant issues, etc). I am turning now to independent research by those whom I found much more informed and back their arguments with facts. Personally I like Andy Xie, Hugh Hendry, Edward Chancellor for the China bear camp & Jim Rogers, Stephen Roach for the China Bull camp. In between I pick up what I see and what makes sense and try to formulate my own views.
