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A comment on China Can’t Sustain Its Debt-Fueled Binge, Moody’s Says. Parent comment

Re:China Can’t Sustain Its Debt-Fueled Binge, Moody’s Says by JumpCrisscross on Wednesday May 24, 2017 @11:33PM (#14415140)
> The vast masses of Chinese citizens are not those people.

I can't recall a single civilization where the majority of people were "those people". The point is there are enough who demand enough that mortgaging the non-influential majority to pay for "those peoples'" bread (or as you put it, "hookers and blow") will be a short-term patch at best. (Reverse wealth transfers are not uncommon in a regime's dying days. Case in point: Venezuela.)

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Re:China Can’t Sustain Its Debt-Fueled Binge, Moody’s Says by Camillo on Thursday May 25, 2017 @12:26AM (#14415293)
This may be a banal point, but do you think the increasing concentration of wealth within the American upper class, with a simultaneous impoverishment of the middle class, is such a reverse wealth transfer?
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Re:China Can’t Sustain Its Debt-Fueled Binge, Moody’s Says by JumpCrisscross on Thursday May 25, 2017 @12:52AM (#14415359)
A salient difference between existential and incidental reverse wealth transfers appears to be (a) the existential pain the rulers, as a whole, defer by enacting them and (b) their intent. Consider the 2008 bailouts [1]. The masses helped, in part, pay the salaries of well-compensated professionals [2]. But could Washington, D.C. have let the banks fail? Probably. Were politicians primarily concerned with the bank executives rebelling? Or were the masses interests' in mind? I think it's safe to say the latter was the intent behind the bailouts, even if a good amount of the former happened along the way

Another example is the scientific and military grant-making processes. Such grants may fund labs and companies with wealthy owners and managers. But that isn't the intent behind the grants. Furthermore, politicians--as a group--don't existentially fear the defense contractors or contract-lab operators.

Now consider Venezuela. Babies are starving [3]. Yet bondholders get paid. Why is the government more afraid of its bondholders than citizens? If it's because the government fears the bondholders' reactions, e.g. military insurrection, more than popular revolt then it's a desperate maneuver.

[1] https://en.wikipedia.org/wiki/2008_Bank_Bailout

[2] https://en.wikipedia.org/wiki/Emergency_Economic_Stabilizati...

[3] https://www.nytimes.com/2016/05/16/world/americas/dying-infa...

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Re:China Can’t Sustain Its Debt-Fueled Binge, Moody’s Says by Mtinie on Wednesday May 24, 2017 @11:48PM (#14415189)
I don't disagree with you, and I'm sorry if I wasn't clear. I just don't believe that those in power consider farther than the short term (say, three to ten years).

The bill eventually comes due, but what cost does the population pay in the interim?

I hope that all subjugated and disenfranchised people rise up to remind their governments that they are the reason that those governments ultimately exist, but the cost of that "disobedience" is a heavy burden if they don't succeed.

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