China is Taking Extraordinary Measures to Support Growth

Numbers just came out, pointing to the extraordinary measures China is taking with their “command economy” to meet grwoth expectations and one has to be wow’d by the sheer stubborness and tenacity the red communist devils are taking to avoid apocalypse.

China’s government spending surged four times the pace of revenue growth in October, highlighting policy makers’ determination to meet this years’ growth target as a manufacturing and property investment slowdown weigh on the economy.

Fiscal spending jumped 36.1 percent from a year earlier to 1.35 trillion yuan ($210 billion), while fiscal revenue rose 8.7 percent to 1.44 trillion yuan, the Finance Ministry said Thursday. In the first ten months of the year, spending advanced 18.1 percent and revenue increased 7.7 percent.

China is turning to increased fiscal outlays as monetary easing, a relaxation on local government financing, and an expansion of policy banks’ capacity to lend, struggle to stabilize growth in the nation’s waning economic engines. Meantime, government revenue has been strained as companies face overcapacity, factory-gate deflation and the slowest annual economic growth in a quarter century.

“With downward economic pressure and structural tax and fee cuts, fiscal revenue will face considerable difficulties in the next two months,” the Ministry of Finance said in the statement. “As revenue growth slows, fiscal expenditure has clearly been expedited to ensure that all key spending is completed.”

 

Bear in mind, one doesn’t avoid the apocalypse, per se. One merely delays its eventuality.

With that in mind, I think it’s abundatly clear by these numbers that the Chinese government isn’t fucking around. Next step is to start murking people to support GDP growth, starting wars and global mayhem to keep the dream alive.

Viewing the entire landscape from above, it truly is hard to remain bearish on global markets when you see all of this effort to keep the pig eating the slop. We’re not ready to slaughter the pig yet. First, we want it to eat MOAR, get fatter, while we prepare the table for a delectable feast.