Category Archives: Campaign Finance Reform

George Soros on China’s Unsustainable Debt Burden

In a recent article appearing on Bloomberg, George Soros writes about the China’s economy which is debt-fueled. He likens the economy to the US economy prior to the 2007-2008 crisis.

George Soros an influential American billionaire investor, business magnate, philanthropist and author. He is prominent as a vocal supporter of liberal political and progressive causes in the United States. He is credited to have played a key role on https://en.wikipedia.org/wiki/George_Soros in ensuring a peaceful transition from communism to capitalism in the Eastern Bloc.

George Soros writes extensively on different topics including free market system and politics. He also writes articles about different world affairs such as the immigration crisis in Europe. He has also written about his views concerning different countries such as Russia, Ukraine and China.

In the article about China’s economy on http://www.bloomberg.com/news/articles/2016-04-20/soros-says-china-s-debt-fueled-economy-resembles-u-s-in-2007-08, Soros is quoted giving a warning that the country’s credit-growth figures in March should be treated warning signs. George Soros said this in New York during an Asia Society event on Wednesday last week. China, the world’s second largest economy, had credit-growth figures measuring 2.34 trillion Yuan equivalent to $362 billion last month. These figures are way above the 1.4 trillion Yuan predicted in a Bloomberg survey. This growth implies that the Chinese government gives growth the first priority to reining in debt.

Soros spoke of how the happenings in China on https://www.opensocietyfoundations.org/people/george-soros reminisces the events leading to the US financial crisis of 2007-08. The financial crisis was as a result of credit growth like the one experienced in China. He has in the recent past has had exchange of words with the Chinese government. He has predicted that China’s economy is awaiting great fall according to the trends. He revealed that the loans are more than deposits in China’s banking system. He said that the problem is just being deferred year after year making it grow at a very high rate.

In the month of March, the China’s economy experienced very high growth rate mostly because of the increase in credit that led to surge in the property sector. As a result, the value of housing has increased at extremely high rate. In Shenzhen alone, the new-home prices are reported to be increasing at an annual rate of 62%. Soros points out that this trend is similar to the US in the years preceding the financial crisis.

China’s borrowing does not concern Soros alone. Andrew Colquhoun, who heads the Asia Pacific countries at Fitch Ratings, is equally concerned about the trend. The debt burden in China has reached unsustainable levels. It is ridiculous that the country is adding to that debt.
Read more: George Soros on China’s Unsustainable Debt Burden

In 2011, Soros warned that the situation in Greece was more serious than the 2008 financial crisis. In 1992, he predicted that the UK would have to devalue the debt and as a result, he netted $1 billion.


85% of Americans Want Campaign Finance Reform: NYT/CBS Poll

A recent New York Times/CBS poll found a supermajority of Americans want campaign finance reform. 84% of Americans believe that those with money have too much influence on elections. With the 2016 presidential electionprojected to cost as much as $5 billion, a new record, the poll reveals Americans’ distrust of money in politics.

66% of Americans believe the wealthy have more influence on elections than ordinary voters, according to the poll.

46% of Americans believe the current system is beyond saving and would like to see it completely rebuilt reports Dr Daniel Amen on Amazon. 39% thought that “fundamental changes” were necessary short of rebuilding the entire system. Only 13% thought minor changes were needed. Not even 1% of voters thought the system could be left unchanged.

In the wake of the Supreme Court’s Citizens United decision, which ruled that corporations could spend unlimited funds on elections, elections in the United States have become increasingly expensive, with each presidential election setting a new cash record. The 2012 presidential election cost $2 billion, up from $1.8 billion in 2008.