about China's economy control

As one doing daily trading on A Share markets, I witnessed the recent Sharp downturn of the stock markets both Shanghai and Shenzhen. I am in loss now, 10% is a comparably a shallow one comparing with the general investors' suffering.

Deep inside, I am impressed with Primer Win Jiabao's determination in controlling the skyrocketing inflation. As he succeeded his second tenure as the PM months ago, on the press conference, he stated his administration would achieve one goal, predominately important one, to curtain the inflation rate within 4.8% by the end of the year. I would never expected any west country's leader could pledge in such an ambitious declaration give the IR of last year is 8, and the first quarter of this year, 8.3.

I am sorry now not having kept his remark in mind, which resulted such a loss in my portfolio. His word was no joke.

We are heading to a painful economy slow-down in coming 6-12 months, that is inevitable. More and more investors are becoming bystanders with cash in their hands, even inflation bites their RMB bit by bit. Industry demands shall decrease, foods are more expensive, while real estates flag.

But there are trade-offs to it.

Evidences show many critical economical transformations happen in this stagnant rest-taking periods. When economy booming, who's going to give a second shot about whether it's going to last forever or not- we are putting our vast labour into some mechanical, back-breaking and endless work under inhuman environments, they can barely make their body and soul together with no future prospect. They have no time for self-education, easily be stricken down with even very common illnesses, because they may lost their job, consequently, put their family in danger.

For most enterprises and managers, they were just too busy/happy to make their low-tech products more widely sold and cheaper. As long as America, Japan and Europe are willing to buy or cannot afford to compete their product, they like to drag this to ultimate. Most of these managers are in 40-60, but senior manager usually above 50, their education backgrounds are poor- a leftover of the Big Culture Revolution, they ought to go ASAP.

Now their hard time is up, money just cannot come so easy as before, by simply exploiting worker and taking CCP officers. They cannot, at the same time, suppress their subordinate for long, who strife to overtake their positions.

The emerging young leaders must keep an eye on tech-renovation and upgrading, it's on of the two ways out. Another one? to die along with the CCP regime.

Environment protection and rehabilitation was considers as a cost increase in the past, managers shunned most of responsibilities with the regards. In Win's second tenure, they can no longer. More exacting policies now been mapped out and circulated. We need to slow pacing to check it carefully now.

More benefits to politcal reform and culture reform as well. I'd not to discuss them for now- too much for today.