Re:How China Is Buying Its Way into Europe
by imtringued on Monday April 23, 2018 @12:07PM
(#16904647)
Simplification: When americans and europeans buy chinese products then china has dollars/euro and we have physical goods. Dollars/euros can only be used to invest into usa/european companies or to buy usa/european products.
[ Parent
| on HN ]
On top of that: Chinese financial markets are strictly controlled and the rates of return on safe investments like bank deposits are artificially kept down. Chinese citizens have very few trustworthy investment options outside of housing or sole-proprietor entrepreneurship, and the latter is only feasible for the politically connected.