November 16, 2007 (LPAC)--The world financial system is finished. Chain-like effects from the now popularly admitted U.S. locality of this finished system will have an especially big effect on China's exports and overall economy, because of both countries' close economic ties, the Chinese Ministry of Commerce warned in a new official research report in yesterday's China Daily. Already Chinese exports to the U.S. dropped "sharply" immediately after the sub-prime loan crash hit in July, and if exports continue to fall "noticeably" in 2008, the entire Chinese economy will slow down, the MOC warned.

In the first quarter of 2007, exports to the US had grown by 20.4% over the year before, but the rate of growth fell to 15.6% in the second quarter and 12.4% in the third. Overall, China sends 19.4% of its exports to the US, second after the European Union, and for every 1% slowing of the US economy, Chinese exports shrink by 6%, according to the Peoples Bank of China.

While China's trade partners have been putting on the pressure for China to cut its big trade surplus at a new monthly record of US$27 billion in October-- Beijing is concerned about the risk of the effects of a "sharp" decline in exports.

What will be the physical effects of this decline on the quality of life of people both in the U.S. and in China? What policies of preparation have American leaders and presidential hopefuls put forth to defend the general welfare against this oncoming net-loss of necessary consumable goods? How many millions of Chinese, who in many cases are already on the dying edge of poverty, will perish when the superfluous goods they produce are no longer affordable to the western world?  A proper study of the LaRouche-Riemann method for economics might be a good place to begin confronting these concerns.  You are in the right place!