India concerned about widening trade deficit with China

[Bang Galore]

So your whole point is anything can happen? What kind of argument is that? The moon can crash China and India can find a mountain of gold under sea.

Anything can happen, but that doesn't mean it will and it's likely. I thought this argument is for the validity of imposing restrictions. All you are saying now is that it can be done, but India would also lose, which is the argument to begin with.

FYI, the last time China did the no trade thing? The hundred years of humiliation period happened. You don't want that do you? I mean again?

This is a bit more possible than your moon analogy. Do I believe it will happen? Most likely not but that would be because the Chinese governments would take some steps to remove some concerns. That is how the world is. Everything is based on cost benefit analysis.If the cost of not doing anything is more than the cost of doing something about it, it will get done.

India is not planning on isolation, the specific target would be China & China alone. Even in that case, it is not a case of trade going to zero, it is about reducing the imbalance. India routinely raises tariffs, there was a recent increase on many products. Your arguments that they won't happen no matter what are the ones being debated here. That is quite clearly wrong. Is there a validity to impose restrictions. Yeah certainly. If the Chinese do not show some movement, there is both a justification & an imperative to restrict Chinese imports. Maybe you should read my earlier post of a note being circulated in the Indian ministries. Obviously I'm not the only one with that idea...

 

[Armstrong]

"Munshi"... is how you guys say accountant?

That is amazing, I love the sound of that word. "Munshi".

Though I'm not quite sure how to pronounce it, lol.

A Munshi is someone from ages past who used to be the treasurer & the book-keeper of some person of 'note' !

His Professional Progeny is a Chartered Accountant - a euphemism for a Glorified Munshi !

But don't ever call a Chartered Accountant as a 'Munshi' he'd bite your head off !

 

[Dillinger]

I'd better meet your parent & compare notes !

And impress upon them that the 'forefathers of Accounting' must have been sociopaths for them to create such a dry & boring subject that makes one wanna pull their hair out just to break the monotony !

HK Treasury Department - They must be in the Financial Management side - That side of accounting is fun to do !

Would you please stop betraying the fraternity, before I have to go to the high council of penny-pushers and have you assassinated.

 

[Chinese-Dragon]

And impress upon them that the 'forefathers of Accounting' must have been sociopaths for them to create such a dry & boring subject that makes one wanna pull their hair out just to break the monotony !

You're just saying that because you are in the field of Accountancy. I personally think it is a fascinating subject.

Not as exciting as a shark-catcher of course (Shark's fin soup... yum) but compared to most other fields out there, it's not bad at all.

 

[Dillinger]

You're just saying that because you are in the field of Accountancy. I personally think it is a fascinating subject.

Not as exciting as a shark-catcher of course (Shark's fin soup... yum) but compared to most other fields out there, it's not bad at all.

AND must you hunt the sharks out of existence, stick to the normal fishes man.

 

[Armstrong]

Would you please stop betraying the fraternity, before I have to go to the high council of penny-pushers and have you assassinated.

They've tried that twice....unfortunately for them I often ask them 'Could a Holding Company, despite having less than 50% of voting rights, establish Control over a Subsidiary due to some future event ?'

Their burning desire to give me a lecture on IFRS 10 usually saves the day !

 

[Lightningbolt]

This is a bit more possible than your moon analogy. Do I believe it will happen? Most likely not but that would be because the Chinese governments would take some steps to remove some concerns. That is how the world is. Everything is based on cost benefit analysis.If the cost of not doing anything is more than the cost of doing something about it, it will get done.

India is not planning on isolation, the specific target would be China & China alone. Even in that case, it is not a case of trade going to zero, it is about reducing the imbalance. India routinely raises tariffs, there was a recent increase on many products. Your arguments that they won't happen no matter what are the ones being debated here. That is quite clearly wrong. Is there a validity to impose restrictions. Yeah certainly. If the Chinese do not show some movement, there is both a justification & an imperative to restrict Chinese imports. Maybe you should read my earlier post of a note being circulated in the Indian ministries. Obviously I'm not the only one with that idea...

You lack basic understanding of economics depite all the posts we have written to make you understand.
The fact that you increase trade barriers hurting your economy is the reason the Indian economy is doing so horribly.

Impose more trade barriers and watch the Indian economy completely collapse as your only growth engine (consumption) will collapse. Then Indian economy will be shrinking instead of growing at slow rates.

Arguing with Indians is like arguing with toddlers.

 

[Chinese-Dragon]

"Mun - shee". Just add a "M" before the "un" (the latter- "un"- is pronounced akin to how you'd pronounce the abbreviation for the United Nations).

Thanks buddy. So I guess I will be able to pronounce it after all, it seems easy enough to say. Like Mun-shee.

Would you please stop betraying the fraternity, before I have to go to the high council of penny-pushers and have you assassinated.

LOL, what is this?

AND must you hunt the sharks out of existence, stick to the normal fishes man.

Don't worry about that, I stopped eating Shark's fin soup a LONG time ago. I figured Bird's Nest soup is quite similar in many ways (both of them absorb flavor very easily) so I might as well eat that instead, and be a bit nicer to the sharks.

 

[Armstrong]

You're just saying that because you are in the field of Accountancy. I personally think it is a fascinating subject.

Not as exciting as a shark-catcher of course (Shark's fin soup... yum) but compared to most other fields out there, it's not bad at all.

Finance is a lot more fun !

 

[cirr]

You didn't understand the thrust of the argument. For a trade war, you must have something substantial to lose. If India-China trade remains skewed, India will really have very little to lose. There are no free lunches. With increasing political friction, it is only a matter of time before there are restrictive practices implemented. China will have to give somewhere, either on trade or diplomatically. There are no permanent free lunches.Period.

very little to lose？

your import bill will be substantially higher to start with。

and your CAD will be hiked to such an extent that the rupee becomes worthless。

and your inflation will be going through the roof。

and your interest rates will be so high that no company would be inclined to invest，resulting in mass unemployment

and your economy will be totally fcuked。

 

[Armstrong]

Oi @Dillinger - How in god's name do you plan on restricting Chinese Exports to India ?

Or even regulating it ?

 

[Chinese-Dragon]

I'm telling you man, it's really expensive.

Edible bird's nest - Wikipedia, the free encyclopedia

Edible bird's nests are among the most expensive animal products consumed by humans, with an average nest selling for $2,500 per kilogramme for end-consumers in Asia.

The nests have been used in Chinese cooking for over 400 years, most often as bird's nest soup.

Plus I really did feel bad for the Sharks. I'm not even an Animal-rights guy, but I figured why not, since they are quite similar.

But the cost means I can't eat it all the time. Just once in a while.

 

[Bang Galore]

You lack basic understanding of economics depite all the posts we have written to make you understand.
The fact that you increase trade barriers hurting your economy is the reason the Indian economy is doing so horribly.

Impose more trade barriers and watch the Indian economy completely collapse as your only growth engine (consumption) will collapse. Then Indian economy will be shrinking instead of growing at slow rates.

Arguing with Indians is like arguing with toddlers.

Please feel free not to argue then. I'm not here to cheerlead your argument. A bit more civility and a bit less assumption that you have all the answers won't certainly hurt for a civilised discourse. Imposing barriers against Chinese imports will cause India to collapse? I thank you very much for your advice but we are not about to surrender our sovereignty to you. Consumption will collapse? You probably think that the RBI (that would be the Reserve Bank of India)doesn't understand any economics when they raise interest rate to dampen consumption. You are right, you should stick to arguing with those who think like you. You certainly show no capacity to understand any point of view other than you own.

 

[Dillinger]

Oi @Dillinger - How in god's name do you plan on restricting Chinese Exports to India ?

Or even regulating it ?

Enhh...there are certain restrictive policies which do keep almost everyone out of certain sectors. Its not very difficult BUT it CANNOT be replicated across the whole economy- not without a big repercussion.

 

[Armstrong]

Enhh...there are certain restrictive policies which do keep almost everyone out of certain sectors. Its not very difficult BUT it CANNOT be replicated across the whole economy- not without a big repercussion.

You mean something on top of the endless Non-Tariff Barriers you've got ?

Tit-for-Tat mein maraa jaiii gaaa !