Your Job Isn’t Going to China with John Rubino

August 30, 2023

In their bi-weekly sit-down, Kerry and John Rubino discussed various economic issues, including the mixed labor market data, challenges facing the housing market, and the real estate problems in China. They noted that wage inflation is becoming a problem in certain sectors, while the labor market in general seems to be weakening. Home sales are frozen, and mortgage rates have spiked, which effectively doubles the monthly cost of a house if the house price doesn’t come down. They also discussed the challenges facing the housing market, particularly for baby boomers who have not downsized from their large homes. Additionally, they discussed the potential impact of Airbnb on the housing market, with a potential deluge of inventory from Airbnb units pouring onto the market in the event of a slowing economy. The conversation then shifted to the complexities of China’s currency crisis and the challenges it poses for the country’s economy. They also explored the potential consequences of China’s demographic issues, including a shrinking population and a shortage of women. The conversation then shifted to the possibility of the BRICS countries creating a shared trading currency backed by gold, which would provide stability for bilateral trade.

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