{"id":7623,"date":"2015-04-27T05:55:53","date_gmt":"2015-04-27T10:55:53","guid":{"rendered":"http:\/\/olduvai.ca\/?p=7623"},"modified":"2015-04-27T05:55:53","modified_gmt":"2015-04-27T10:55:53","slug":"australias-bad-bet-on-china","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=7623","title":{"rendered":"Australia\u2019s Bad Bet on China"},"content":{"rendered":"<h3 class=\"entry-title\"><a href=\"http:\/\/wolfstreet.com\/2015\/04\/26\/lindsay-david-australias-bet-on-china-iron-ore-crash-prediction-ignored-warnings\/\" target=\"_blank\">Australia\u2019s Bad Bet on China<\/a><\/h3>\n<p><em><strong>Wolf\u00a0<\/strong><strong>here<\/strong>:<\/em>\u00a0After any bubble, it\u2019s always: \u201cNobody\u00a0predicted the crash\u2026.\u201d\u00a0Central bankers don\u2019t\u00a0see bubbles. They\u2019re not allowed to. At least officially, they don\u2019t see them. And thus they can\u2019t see the implosions coming. They can\u2019t officially see these things because they help\u00a0create them with their monetary policies.<\/p>\n<p>Industry insiders and their financiers don\u2019t see bubbles either because they get rich off them. Politicians and bureaucrats don\u2019t see them because bubbles make them look good and bring in a lot of moolah.<\/p>\n<p>But\u00a0people do see the bubbles \u2013 which are huge and easy to see \u2013 and\u00a0they do predict their\u00a0crashes\u00a0though they might not always get the timing right. Yet,\u00a0they\u2019re pushed aside and made the most unpopular folks around, and they\u2019re expelled from the herd, and their warnings are ignored. It happens every time. And it happened during the Australian iron-ore bubble, whose spectacular crash suddenly \u201cnobody was predicting.\u201d Ha! Here\u2019s Lindsay David:<\/p>\n<p><em><strong>By Lindsay David,\u00a0<\/strong><\/em><em>Australia,\u00a0<\/em><em>author of\u00a0<\/em><a href=\"http:\/\/www.amazon.com\/Print-Central-Bankers-Lindsay-David-ebook\/dp\/B00TMHEDBY\/ref=tmm_kin_swatch_0?_encoding=UTF8&amp;sr=&amp;qid=\" target=\"_blank\"><em>Print: The Central Bankers Bubble<\/em><\/a><em>, founder of LF Economics:<\/em><\/p>\n<p>Late last week Bloomberg\u2019s James Paton released an article titled,\u00a0<a href=\"http:\/\/www.smh.com.au\/business\/mining-and-resources\/gina-rinehart-says-nobody-was-predicting-the-ore-price-crash-20150424-1mspp3.html\" target=\"_blank\"><u>Gina Rinehart says \u2018nobody was predicting the ore price crash\u2019<\/u><\/a><\/p>\n<p>Rinehart, \u201cAustralia\u2019s richest woman\u201d and \u201cchairman of Hancock Prospecting,\u201d as the article put it, is not the only mining head, politician, treasury employee, mainstream economist, or Reserve Banker \u201c<strong>not<\/strong>\u201d\u00a0to predict the ore price crash. In fact, unless I am seriously mistaken, none of them saw the price crash coming. But they have indeed ignored all the warnings by those who\u00a0<strong>did<\/strong>\u00a0predict the crash in the spot price of iron ore.<\/p>\n<p>&nbsp;<\/p>\n<p>&#8230;click on the above link to read the rest of the article&#8230;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Australia\u2019s Bad Bet on China Wolf\u00a0here:\u00a0After any bubble, it\u2019s always: \u201cNobody\u00a0predicted the crash\u2026.\u201d\u00a0Central bankers don\u2019t\u00a0see bubbles. They\u2019re not allowed to. At least officially, they don\u2019t see them. And thus they can\u2019t see the implosions coming. They can\u2019t officially see these things because they help\u00a0create them with their monetary policies. Industry insiders and their financiers don\u2019t [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[2],"tags":[41,124,130,151,1851,4899,236,238,4976,500],"class_list":["post-7623","post","type-post","status-publish","format-standard","hentry","category-economics","tag-australia","tag-central-banks","tag-china","tag-commodities","tag-commodity-price-collapse","tag-economic-bubble","tag-economic-collapse","tag-economic-crash","tag-iron-ore-price-collapse","tag-market-collapse"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/7623","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=7623"}],"version-history":[{"count":1,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/7623\/revisions"}],"predecessor-version":[{"id":7624,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/7623\/revisions\/7624"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=7623"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=7623"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=7623"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}