The annoying Credit Crunch: Is it China's fault?

Question

China over that last decade has demanded more resources than eve before = as a result causing the other half of the world to give more to them = as a result the other half of the world needs to raise their prices!

But is it really China's fault? What do you think?

Answer 1

You could say it's China's fault.... but it's American and Europse fault that it's China's fault

The west keeps using China as it's cheap labour, China makes more money, develops, puts up prices, other countries get a crunch

Answer 2

china is the only country keeping us afloat.

Answer 3

The price of Food and Oil is something to do with china expanding so fast and eating more but as much to do with the west doing the same.

the stricter lending conditions or credit crunch is equally shared between the banks for lending too much to people they should not have done so and US for borrowing way too much.

Answer 4

The biggest cause of the credit crunch is Americans who think that credit is the same as income

borrowing massive amounts, buying consumer goods and generally acting like the rest of the world owes them a living, then suddenly realising that debts have to be paid off eventually.

who has been giving stuff to china?

they are a net exporter of most goods AND resources

Answer 5

Why blame China?  For the last 100 years it's been gas guzzling USA who have swallowed most of the world's natural resources.

Meanwhile here in UK we've only got 200 years of known coal left.  So, we're gonna dig that out and burn it to make smoke and such.

And, down in the Falkland Islands there's black gold.

BBC NEWS | Business | Oil billions beckon Falkland Islands19 Apr 2007 ... If you believe the oil men, the inhabitants of the Falkland Islands could soon be among the richest people in the world. ...

http://www.news.bbc.co.uk/1/hi/business/...

Answer 6

You are confusing 2 separate issues.  The "credit crunch" has nothing to do with the price of raw resources.

Answer 7

Honestly some people would blame their next-door neighbour's cat or dog if it made them feel better. The credit crunch has happened for several reasons, people obtaining credit and the cost of living going up to extremes; in fact few people can live off of their wages due to high living expenses and their wages do not reflect this. It appears to be the will of some of the super rich to let poorer people have no pleasures in life at all whilst some jet here, there and everywhere leading the life of Riley!!!!!!!!!!!!

Answer 8

lol no

its the fault of greedy lenders in the west

Answer 9

No, the credit crunch is due to negligent and irresponsible lending to people who cannot repay the loans, by in the first instance American banks with a knock on effect elsewhere.

Seperately, China and India as well as other rapidly developing countries are responsible for increasing demand (therefore increasing prices) on world resources but the word "fault" is not really a fair or accurate description. Those countries and others are only going through a stage of consumer development Europe and the Western world went though some time before. If it's ok for us to do it, then it's ok for them... isn't it?

It's just a coincidence that two negative but unrelated economic situations are occuring at the same time.

Answer 10

No - absolutely not - in fact the fault for the credit crunch lies squarely with investment bankers around the US and Europe and the Governments that should have seen this coming and responded appropriately earlier.  

Answer 11

i blame the Orkney Islands in Scotland near England

Answer 12

Yes let's blame space aliens as well.

Answer 13

It was caused by a housing bubble in the United States, and allowing banks to sell off their loan books which included borrowers who could only refinance if prices kept rising. One more thing to blame on George Bush,

Answer 14

Credit crunch affects EVERYTHING it costs more to transport the items to the wholesalers petrol,tax,  

Answer 15

Market Forces.

And someone, somewhere, is benefiting from this