by gordon john who's a big. chinese sayer wrote a book called the coming collapse of china the only problem was he wrote the book in one thousand nine hundred eight so we look at the structure of the chinese economy what is china exports the united states what does the united states export to china look at the real numbers the major exports from united states to china last year was corn so it beans scrap steel and scrap plastic. looks more like a eighteenth century economy what we see in united states the other hand what you see is china exporting their number one export united states is now electronic equipment. manufacturer manufactured look tronics so china story twenty years ago on the low wage low value added in it's very new work of many american companies are going to get global competitors coming out of china in future yeah you mentioned scrap metal scrap paper yet if you look at the list of

exports from the top twenty states that export to china from the united states number two or number three on the list is always garbage america's excellent exporting its garbage to china like scrap paper for example which of course china recycles into cardboard cardboard boxes and resells back to united states and has made many many billions of dollars for people over there who are not afraid of doing a day's work of course in america that's not in the cards anymore it's more about getting that electronic payment down there at the wal-mart to pick up some baby formula now stephen roach and jim rogers are almost alone amongst western commentators in praising the medium to long term for chinese economy and claiming that any short term housing market or economic slowdown will be a soft landing so those guys are in the pro china camp. you're there in shanghai. so it's not it will be there whether it's a soft landing or

a hard landing you're saying whatever the landing is doesn't make much difference the one clear trend is that they're going to take their cash pile of money and start buying into countries like the u.s. correct yes absolutely i think when we talk about the chinese economy a lot of the anti china stuff that relates to housing you know the americans have for twenty years lived in a pretty good money transfer agreement military industrial complex economy. they just went through a housing bubble so they believe everybody should have a housing bubble what they don't realize here is half of the homes in china have been paid with cash the other half have at least thirty percent downpayment so there is no credit bubble so to speak in housing. china has experienced somewhat of you could slow down if you could call it a slowdown you know eight or nine percent g.d.p. growth but really what the people forget is that this is an engineered slowdown chatto wanted to slow down the economy growing at twelve percent

a year it was too fast with the high inflation environment with with all these central banks continually printing money last year a corporate loan now in china is nine percent. there's direct korean laws to stop people from purchasing homes so you can only literally purchased one home right now you can't purchase another one if you already own one so i don't see a troubled economy in county where you people are buying cars and homes for cash and where you have to try to slow down the growth i see the big trouble in united states where last year we went into a five trillion dollar debt gap adjusted debt which is on balance sheet off balance sheet liabilities to create one percent g.d.p. growth that's more what i'm worried about let's move on to our gold for a second because forbes that mouthpiece of the entranced kleptocracy is recently talking about why china is buying all because it's capital flight and it's nasr

teats again anyway but it seems we hear a lot of people talking about strategically china want to buy gold insulate itself against a collapsing dollar your thoughts yeah buying gold you know forbes i basically work in their own agenda here why not gold in china isn't capital flight are is actually there's actually no correlation there last week beijing daily reported there was over one hundred million dollars in. gold sales in beijing alone they go upstairs stores headlines out the door and gold is really become a big chinese new year's gift here in china its sales in the first week after new years were up fifty percent from last year this gold is not. been going over seas with people leaving planes it's getting put into families the be handed down generation after generation the capital flight issues an entirely separate issue if

you look at the very you know a lot of the wealthy people in china there is a lot of the corruption here no doubt there's a lot of ill gotten gains and a lot of capital flight is due to some people in china diversifying their assets if they're ever. caught or where if you know somebody discovers what well how they've made their money they need to get away plan and there are some people that have prepared that that's where most of the capital flight issues are coming from her i have got a couple of minutes left i want to cover some topics here you recently compare the chinese and u.s. economies but you didn't is the manipulated g.d.p. numbers but on raw data simply wanted to find and collins yeah find g.d.p. is a you know really have some problems with it it's almost an obsession with a with the american academics. but in reality does anybody really look out the window as they fly over the cities in the united states look at detroit cleveland

buffalo and now the empty suburbs near vegas where is the economic growth you know i just don't see it i take a look at the numbers you know the u.s. of the fifteen trillion dollar g.d.p. and china has a seven trillion dollar g.d.p. which means united states roughly you know more than twice as large as china but china makes ten times the amount of steel three times as many vehicles they purchase they consume twice as much beer they export three times as much as many high tech exports as the united states does. three times as much cotton five times as much coal other lists go on and on the so the cell phone markets three times as large so i just wondered how you know if we get duct print. money in government transfer payments what would the g.d.p. of the united states really be you know i think that's really a bubble that nobody sees is there the american g.d.p. is a complete fabrication and i'd also highlight the manufacturing numbers you know many

people including academics high level policymakers united states they will tell you well we don't need to worry united states is still the largest manufacturing economy you know the federal reserve has admitted they don't break up the value add in those numbers so you know you know this is nine million people working in manufacturing i can drive within an hour of where i'm sitting right now if i nine million people working in manufacturing there is no way the united states has a larger manufacturing economy than china yet we still live by these allusions on our numbers but no nobody pretends that america as a manufacturing economy or g.d.p. tied to manufacturing is tied not to making stuff but the blowing stuff up the military industrial complex is a huge part of the g.d.p. and debt which fuels the military industrial complex is huge part of the g.d.p. everything shock and awe was a huge g.d.p. booster in america right now we only got a minute left intellectual property you know china makes all the stuff but you know

apple computer gets all the ip glory when it's time to going to do their own ip yeah this is the thing china struggles with they know they're there. we'll have to see if they really can turn around i think you know japan got a rap ten fifteen years ago for not having any innovation i think that was largely overblown japanese companies learn to create their own ip korean companies learn to create their own ip i think china is on its way i mean at first when you're developing an economy you're focused on import substitution and being able to make your own products just based off what's already out there i think now you see a lot of vehicle market you see the major car makers the general motors of. or are doing a lot of their r. and d. electrical vehicle manufacturing or d.s.p. going to be done in china or other tailor making the cars for china that will then go all over the world so i think chinese companies are behind the ip they know

there and we'll have to see that develop over you know that's really a soft skill and i think we'll continue to see that bill over the next decade yeah they're going to be forever behind the curve unless they relax censorship because you've got to be able to say some crazy stuff to come up with some crazy ideas that get patented that drive ip that's all the time we have daniel collins thanks so much for being on the kaiser report thanks very much max and that's going to do it for this edition of the kaiser report with me max kaiser and stacey herbert i'm with my guest daniel collins over there in shanghai is going to send an email please do so at kaiser report r t t v dot ru until next time x. guys are saying bye off. and running again.

russia and china veto of u.n. security council resolution on syria in a vote in new york. moscow says the document does not reflect the situation in syria and in thousandth signal to both sides all the details just ahead. more than two hundred thousand people brave russia's bitter subzero cold to ensure their views on national politics are heard. we seem people out on the streets demanding free elections in support of the code russian government join me for more than a few moments. and fighting between police and protesters continues in egypt with twelve people killed and hundreds more injured in the latest crackdown.

midnight in moscow i mad très a good to have you with us here on r t our top story russia and china have veto the latest u.n. security council resolution on syria moscow says that's because the draft didn't reflect the real situation in damascus and was sending unbalanced signals to all sides in the conflict or he's wearing important has the latest from the u.n. in new york. in a matter of just five minutes after the meeting began russia and china both wielded their veto powers not supporting this draft resolution that was written up by the arab league european countries while the draft resolution was supported by thirteen members of the security council russia was asking for some amendments according to

russian foreign minister sergei lavrov those amendments were not excessive and mr our law said that russia was urging the west to accommodate moscow's concerns to reach a compromise on this draft resolution china during the meeting that supported russia's amendments and said for the council to approach a vote knowing there was a divide it did not help maintain the unity or the authority of the security council russian foreign minister sergei lavrov said that moscow does not support using the security council as a tool to intervene on a sovereign country experiencing an internal conflict he believes that could create chaos in international affairs so as we see there was two vetoes on this resolution it did not go through and it's because russia believes that as the draft resolution was presented it had

a lot of imbalances in it when it comes to the current circumstance in syria russian envoy to the united nations vitaly churkin did go into detail about those imbalances but i do work in the security council has not yet reached its conclusion you know the draft resolution put to the vote does not adequately reflect the real situation in syria and soon. the co-sponsors of the resolution and the wording of the taking into account the syrian opposition they must distance itself from extremist groups committing violence. on states your ability to use their influence to prevent such. no one has been taken into account that along with was drawing the syrian forces from the cities. to its. own state institutions. nor has the being support for affording more flexibility to get into media outlets states to increase the chances of a successful political process the russian delegation was forced to vote against

this draft resolution we seriously regret this outcome of a. foreign minister is scheduled to visit damascus on tuesday to meet with syrian president bashar al assad this is a move. to hopefully reach some type of peaceful approach your solution to the conflict still waging in syria the arab league has also addressed the media at the security council at the stakeout saying that they are extremely disappointed. over today's outcome but they will continue trying to work with the security council with the united nations to try to reach some type of consensus now u.s. president barack obama did also issue a statement of his own before the meeting began dating that you know the united states is on the side of the syrian people that are opposing the syrian president and his government and he said quote the assad regime the time has come for the assad regime. to change clearly the united states is pushing for regime change this

is a sticking point this is something that russia does not support so we'll see what takes place in the days and weeks to come but as of now the draft text proposed by the europeans by the arab league vetoed by russia and china. in the security council meeting comes amid reports of a new crackdown in a syrian city of homes with hundreds reportedly killed for some insight on the situation in syria jason and news editor of antiwar dot com joining us from michigan so activists in syria claim there's a reason violence is the worst since anti-government protests started i want to ask this is the killings were carried out by terrorists seeking to influence the u.n. decision what do you think it is. well it's hard to stand and i think this goes back to a longstanding problem in syria which is that they don't allow any foreign media into the country so there really is no way to refute claims by either the regime for the opposition so we don't really know for sure what's going on there. is the

next step. well it's hard to say but i think the resolution itself was probably not going to accomplish much anyway it seems to have been at best an effort to. kick start some international backing for intervention in the country which obviously russia and china are not going it support i don't think it was ever going to get anywhere and it seems like with the arab league having withdrawn all their monitors from the country in favor of this resolution they sort of shot themselves in the foot here and don't have a lot of options left. as president obama has called for. tough international rhetoric. getting anywhere near a peaceful solution to the conflict you know and i don't expect them to either it

seems to me that what the security council is is liable to do with syria is to continue arguing the point to continue putting forth resolutions that have no chance of passing and giving long winded speeches that don't really get anywhere. near the same calls as allies for a. step down. the crisis or what might follow after that well if it might well put an end to this crisis and create another potentially worse crisis as it did in libya but i think what happened in libya has been a real wake up call for the international community that these resolutions can lead to wars and and that they're not going to be so easy to pass the future. thank you russia says the current draft included measures against president assad's government but not against the armed opposition groups why do you think some western countries fell short of condemning both sides in the conflict well i think . mostly it's because there hasn't been

a lot of awareness or even recognition from the west at these opposition groups are doing anything like that what we see mostly in the western press has has been reports directly from opposition groups which again goes back to the fact that there's no media on the ground inside syria and they opposition groups are obviously focusing entirely on one half of the civil war that's seems to be in the offing in syria and ignoring the other side virtually completely to think what they have now is a civil war i mean do you think violence instigated by opposition can equate to violence that's instituted by the state so. well i don't think that the opposition is that strong yet to the point where they realistically can but they certainly seem to be able to in some parts of the country so i would say is certainly not nationwide civil war but there certainly are some some small local areas where it

probably is a civil war the moscow says western states a fall into the habit of using the u.n. as a tool to bring about regime change you think that's a fair accusation oh absolutely it's seems like that's the only point to any of these resolutions i don't think if if there was no interest in bringing about regime change that we'd have had a resolution at all. all right jason deeds editor of antiwar dot com thanks for your perspective thank you. more than two hundred thousand people have come out into the streets of russia on saturday for a day of protests the largest seen in the capital so far one group calling for a fair elections the other is a rally in support of the current leadership party's correspondent peter all over reports on both. well saturday was a day of demonstrations here in the russian capital we saw a march and a rally by opposition supporters a large group of them meeting in the center of the city and marching here to block my a square which block my has really become the central focus point for opposition protesters

here in moscow this is the second time that opposition protesters have taken to the last night square for fewer the this time than last but of course the the weather a big deciding factor in cripplingly mo temperatures here in the russian capital in fact the organizers of the protest here shortened the events that were going to be happening just to make it more comfortable for people who had come out in the cold minus twenty times on saturday here in moscow. so they came out to to voice their opinions you know better than if you were forced to look in here because i'm tired of the government which doesn't do it promises nice and wants this to carry on for you if you. change their elections and normal life there was because your mind goes when you want to come here and. now talk about some of those groups that we've seen come here they really come from all across the

russian political straw answer we've seen far right groups far left groups and everybody in between. all coming out coming here to pull off the square to demonstrate we didn't hear from. the presidential candidate the independent presidential candidate he's drawn a lot of support from some of the groups that have come here to protest he said he would attend but he wouldn't give a speech this wasn't the only demonstration there was taking place on saturday there's also being gatherings of people who are in favor of the government pro-government forces and. who will be campaigning saying that they still want a resolution in russia using the example of the orange revolution in ukraine in the chaos which country founded. saying that they don't need not in russia they would post ability and not the revolution saying that russia had its times of instability

and they didn't want to return to the dark days old the ninety's now the good news for everybody concerned is just how peacefully everything is being carried off on saturday the opposition on the pro-government protests going off relatively without a hitch one of the pro putin rallies we did see the leader of that rally taken into custody by police now this is because it was a sanctioned dryly and it was sanctioned to have a certain amount of people the amount of people far exceeded the police a lot of police in cities they did say say protesters must remain within the law they did do that and everything going on very peacefully as such the day becomes the day of demonstrations. the presidential election in russia just around the corner of the opposition is demanding a fair vote martin mccauley an expert on russia from university of london thinks the process must be transparent defer their protest and be avoided. result of the

election of course we're very very important because what these demonstrators want is if you like a clean election an absence of fraud and so on and it's up to the authorities to ensure that there would be cameras there and so on and therefore it's probably will be a fair and clearly election but what is important is that it seemed to be fair and that these people have no cause to claim that the election on the fourth of march whether president vladimir putin wins the first round of that has to be seen to be fair and to be clean otherwise they'll be tremendous protests on the level of about the opposition will not come together they don't want to compromise they don't want to arrive at a single candidate the only way they're going to defeat the liberal put it on the fourth of march just have a single candidate who is accepted by the whole opposition and there's no likelihood is this it looks already as if it cannot easily garner the congress candidate will come up second as he always does and this is results could make of

a third or fourth and so on i mean hard prokhorov would bring up the rest because he is there really only to appeal to the middle class urban voters. expert martin mccauley sharing his if you will on today's rally. fresh clashes outside egypt's interior ministry as police again fire volleys of tear gas and rubber bullets at crowds who threw rocks in response twelve people were killed more than two thousand injured in protests across the country in response to the protests presidential elections could be moved forward from june people have been venting their anger at police for three days for failing to prevent the wednesday's violence in which port in port sayed in which seventy four people died demonstrators are demanding the military council step down for more a perspective on all this i'm joined by omar nashua from the institute of arab and islamic studies at the university of exit or so the president and the entire board of egypt's football association were fired after the on pitch tragedy but protests

over the deaths are still rising people are rallying right across the country and they think there are more than these clashes more to these clashes than just a regular football rivalry what do you think. i think most of the protesters do not blame the federation the soccer federation or the football federation they blame the security services some of them believe that that was that event jetpack against the. of egypt mainly because of its role during that evolution in generating selden eleven fans over the ultra of this day on the ultra as many of them were quite organized and they went in protected the square on the twenty eighth of january on the second of february of last year and most of the victims the overwhelming majority are from and the and many believe because of the security arrangements because of the targeting of all those fans and because of the

presence of arms which has never been there in egypt. we had like many football fights between teams but no one has died the worst thing that would have happened is probably bruises and light injuries but this time that said this is a massacre by any scale seventy seven people were killed never before it happened in the history of the socket and that's why they believe the security services is quite complacent and they are protesting in front of its ministry in the middle of title right now the protesters are angry at the military council for a new rallying reforms after mubarak was ousted from power what's your view of the leadership so far can you the question again because i can hear you sure no problem what's your view of the leadership so far in the country. i think the supreme council of the armed forces has mismanaged the transitional process to a large degree the expectations on the egyptian street it were rising because they

thought that they would be transferred off power from the military to civilian elected civilian in six months and therefore once you have elected civilian rule they investments will come to life the economic life will be back to normal there would be a thoughtful restructuring of the security services that acted in a very aggressive and brutal way and corrupt way during the mubarak era and all these expectations so the economy to enhance a better economy the dignity the freedom the bread the slogans of that evolution were not really accomplished by a year after the revolution and many on the streets of egypt blame the transitional . videos of the transitional period which is the supreme council of the armed forces that's why there is the protest last friday and on the anniversary of that evolution we wanted a president now an elected president now so that they can hold him account.