Tag Archive: China


National debt is the term assigned to the sum total of all money owed by the US government to its creditors, namely by way of US government bonds. The number one single buyer of US government bonds is China. A sustained devotion of a certain amount of Chinese investment to the purchase of US bonds has become integral to sustaining existing levels of US government spending.

Earlier this year, Chinese finance officials chastised the US for perceived risks to long-term fiscal solvency. Many economists of widely diverging views on best economic practice or theory have observed that a “symbiotic” relationship has emerged, in which cheap goods from China are sold in the US, where consumer spending is enabled by easy credit, funded by low interest rates, in part supported by the expanding market for US government bonds, funded by Chinese buyers, who are essentially closing the circuit, turning US consumer dollars into Chinese bond buys, which in turn facilitate consumer spending.

This may be an oversimplification, but the question is: has the US economy broadly become dependent on the continuing expansion of bond sales, i.e. national debt?

TheHotSpring.net :: NOW, with David Brancaccio, travels to the Indian Himalaya, to examine the problem of persistent accelerating ice melt which is speeding the erosion of glaciers that feed the Ganges River, which in turn provides water for hundreds of millions of people and sustains a precarious but massive food economy.

The Intergovernmental Panel on Climate Change (IPCC) finds global warming is causing glaciers to melt on every continent, and glacial melt is accelerating. It is expected land-based ice-melt could lead to a 3-foot rise in sea levels by the end of this century, a tidal surge, however gradual, that could displace 2-3 billion people living in coastal regions around the world.

But the immediate problem examined by NOW in this video is the potential worldwide food crisis resulting from failing river systems, starved of water fed from glacial sources at the top of their watersheds. The president of the Earth Policy Institute says the resulting scarcity and price-distortions could become a global security threat.

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China is choking under a thick covering of contaminants produced from burning carbon-based fuels for industrial production, power-generation, and transport. Environmental degradation is so rampant that much of the northwest of the country is being lost to rapidly expanding deserts. And desertification threatens the already shaky balance between China’s available arable land and its skyrocketing demand for cheap food. Policy makers and market theorists in China and abroad should be thinking about whether that desert can produce something to help China escape the mounting environmental and public health cataclysm.

If the windswept desert plains and sweltering sun-drenched sands can be used for power generation, then industrial land elsewhere in the country can be converted to other uses, and the air across China could be cleaned up, at least in part. At present, China relies mainly on coal for its power generation needs, and coal is the dirtiest fuel source that is widely used. Economic “imperatives” drive Chinese policy toward coal, because it can be harvested domestically, but it may not be necessary to keep burning it in order to keep China’s boomtime economy growing.

China could in fact be —due to its size, both geographically and demographically, and the immense amount of investment pouring into the country— an opportunity to implement what might become models for future “clean” industry-based green-economic development. This would require specific improvements, on a massive scale, and one of the key technologies that will be required is a renewables-oriented grid that transports electricity with minimal energy seepage in “real time”, so that massive renewables farms in remote areas can provide power to faraway urban centers.

The United States is examining this problem as we speak, and the dedicated renewables grid is part of the plans of T. Boone Pickens as well as the “we can solve it” campaign, backing Al Gore’s push for an all-renewables economy within 10 years. The single major obstacle to implementing such plans is not technological capacity, but rather the installation of the optimum infrastructure to distribute the power generated by such means to consumers, and to take advantage of feedback loops, so that all available renewable output capacity ends up being shared across the entire grid.

China has soared in economic terms to become the world’s 2nd leading consumer of energy and its 2nd consumer of petroleum, behind the United States. More than 4 times as populous as the US, and facing shocking degrees of environmental degradation and public health risks, China cannot sustain the level of old-fashioned unfiltered coal-fired power plant-use and resulting carbon emissions, without paying a heavy and potentially irreversible cost.

China is also undergoing a dramatic shift toward the individual automobile as a transport staple, a move that could push global carbon emissions far beyond the “point of no return” for catastrophic climate change. And, pressure will mount in coming years, as the US gets closer to supporting a global carbon-emissions reduction regime, for China to surrender its growth engine to a global security imperative. It would be best served by having a safe means of transitioning away from carbon-based combustibles sooner rather than later.


Demonstrations against Chinese rule in Tibet turned violent in Nepal’s capital Kathmandu, yesterday, as police wielded bamboo clubs and beat demonstrators, including Buddhist monks and nuns. The UN has said Nepal’s harsh clampdown on Tibetan demonstrators violates international human rights law, including the right to peaceful assembly, as embodied in treaties signed by Nepal.

Demonstrations that began in Tibet’s capital, Lhasa, more nearly 3 weeks ago have now spread to neighboring provinces in China, and into Nepal and India. The Kathmandu clashes came as large crowds accusing China of human rights abuses in Tibet tried to approach the Chinese embassy grounds.

The occasion of the Olympic torch officially passing from Greece to China today also drew more demonstrations. Ceremonies were disrupted last week, and again today, and China is now wrestling with what some observers are describing as a “PR nightmare” for which the Beijing government may be ill-equipped, as it uses force to crush the protests.

Speculation both from official sources and from journalists says Tibet may find itself under near total “military lockdown” during the run-up to the Olympic games, and during the games as well. Foreign journalists have been banned from Tibet, and reports of violence against demonstrators or killings at the hands of security forces have been difficult to confirm.

The UK’s Independent newspaper reports that one Tibetan exile, who fled under dangerous conditions 11 years ago, has now returned to film in secret “the stories of torture, murder and forced sterilisation that China does not want the world to hear”. Some reports shown in documentaries on British television are highly disturbing, including one video shot by western climbers in 2006, allegedly showing “a line of refugees plodding through the snow, with some of their number suddenly picked off by bullets fired by the Chinese soldiers behind them”.

According to the Independent, Tibet, which covers an area roughly the size of western Europe, is under de facto military occupation, with “an estimated one Chinese soldier for every 20 Tibetans – as opposed to one soldier per 1,400 Chinese citizens.”

Reporters Without Borders (RSF) notes that “When the International Olympic Committee assigned the 2008 summer Olympic Games to Beijing on 13 July 2001, the Chinese police were intensifying a crackdown on subversive elements, including Internet users and journalists. Six years later, nothing has changed.”

The media freedoms watchdog group adds that:

Now, a year before the opening ceremony, it is clear the Chinese government still sees the media and Internet as strategic sectors that cannot be left to the “hostile forces” denounced by President Hu Jintao. The departments of propaganda and public security and the cyber-police, all conservative bastions, implement censorship with scrupulous care.

China is now facing what many view as a crucial moment in its political history. It is planning to “take its place on the world stage” by hosting the Olympics this year, but still needs to grapple with the tension between staunch traditional nationalism, and the pressures placed on its regime by the views of the international community.

Governments around the world, including US president George W. Bush, have called on Beijing to use “restraint” in Tibet, to lift its freeze on foreign reporting from the region, and to hold talks with the Dalai Lama. The fact that official violence against demonstrators has now also spread to other nations is making the Tibet problem even more visible, which means Beijing’s efforts to hide it from the eyes of the world may be in vain.


The Chinese government’s military crackdown on demonstrators in Tibet and in neighboring Chinese provinces has been intense, though foreign media have been unable to confirm reports of mounting death tolls. In Sichuan province, there are allegations of 23 killed by security forces in one incident, including a 16-year-old. Reports of mounting fear among civilians in Tibet and Sichuan have become common in recent days.

Despite early official reports from Chinese state-run media claiming that protests were limited to radicals in the capital, they have in fact spread across Tibet and well into China. According to the Sunday Times:

[T]he violence reached right into the centre of Chengdu, a city of 11m, where nerves were on edge last week. In scenes not witnessed in a Chinese city since 1989, troops in battledress joined black-uniformed special police in clamping a cordon around the Tibetan quarter.

The Speaker of the US House of Representatives, Nancy Pelosi (D-CA) has condemned the military assault on civilians, calling the situation “a challenge to the conscience of the world”. She also said “If freedom loving people throughout the world do not speak out against China’s oppression in China and Tibet, we have lost all moral authority to speak on behalf of human rights anywhere in the world”.

While Tibet’s independence struggle is political and cultural, linked to the Chinese invasion 60 years ago (political in resisting occupation, cultural in resisting what Tibetan Buddhists believe is Beijing’s intention to eliminate its religious traditions), the planned mass migration of ethnic Han Chinese into the agrarian mountain region has caused an escalation in interethnic tensions, and resentment among Tibetans who say economic growth and educational opportunities have been concentrated in Han Chinese communities.

Now, some observers believe, China is facing what appears to be the failure of its post-Tiananmen plan to use economic development as a lure to long-term peace and integration. Chinese in Tibet and in neighboring provinces have reportedly been expressing feelings of despair over the Tibet situation, saying they don’t see how Tibet could win its independence, or how China will win Tibetans’ hearts.

The conflict could continue to deepen if China depends more heavily on impunity, masking the use of force by way of censored and structured media reports, than on dialogue and working toward a political solution. Some Tibetans are alleging Beijing’s plan is to eradicate Tibetan opposition by way of a kind of “economic ethnic cleansing”, forcing Tibetans from their homes or even into Chinese cities in search of work.

Today, 29 prominent Chinese intellectuals published an open letter calling on their government to “stop the violent suppression”, and suggesting 12 ways to better deal with the worsening but long-lived tensions. The letter went as far as to urge that “As the Chinese government is committed to integrating into the international community, we maintain that it should display a style of governing that conforms to the standards of modern civilization”.

Two days after peaceful demonstrations across Tibet turned violent in the capital Lhasa, the Reuters news agency has reported that the violent clashes between protesters and Chinese security forces have spread to neighboring provinces. Supporters of the Dalai Lama, the exiled spiritual leader of Tibetan Buddhists, say they have confirmed at least 80 deaths among demonstrators.

Xinhua, China’s official state-run media organization, reports only 10 civilian deaths and a number of policemen injured. The BBC reported yesterday that mainland China and Chinese-language domestic media were under a near total information blackout regarding the Tibet demonstrations. The government has refused to confirm that security forces were responsible for any civilian deaths.

Calls for an international boycott of the Beijing Olympics later this year have so far been treated as an overreaction by most governments. The Dalai Lama himself said he expects the international community will pressure Beijing authorities to “be a good host” of the Olympics, which means implementing more democratic reforms and disavowing all violence against civilians or persecution of political dissidents.

According to Reuters, in Aba county Sichuan province, China, which has a large Tibetan population, there are reports of firebombings and vandalism, and police firing on demonstrators. The news service also reports “widespread talk of 10 or more dead” in Aba county.

International media reports say that sources in the Tibetan exile community, from India to New York, have confirmed that at least 30 civilian demonstrators were killed by Chinese security forces as they moved to end a demonstration in the Tibetan capital, Lhasa, on Friday. Demonstrations had begun on Monday, and for four days, reports suggest the majority of demonstrations were peaceful.

On Friday, however, after what some journalists —including those reporting for the BBC and reportedly censored by the Chinese government— say were persistently harsh reactions by security forces to peaceful demonstrations. Throughout the week, demonstrations are reported to have spread from the capital Lhasa to other cities and smaller provincial towns across Tibet.
China has occupied Tibet for 60 years, claiming it is Chinese territory. Official reports from the Beijing government categorize the invasion as “liberation” of the people of Tibet from the tyranny of feudalism. Since the 1989 Tiananmen Square massacre, the Chinese government has sought to quell separatist unrest in Tibet through economic development plan and mass migration of Han Chinese citizens to Tibetan territory.
On Friday, police sources allege, the peaceful demonstrations turned violent when a number of shops owned by Han Chinese Tibetan residents were attacked and burned. Due to the government’s near total media blackout across Tibet and within China generally, it is not clear whether the vandalism rose to the level of inter-ethnic violence or whether it was provoked by security forces’ excesses, as alleged by some rights groups and Tibetan exile activists.

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