Viewing a single comment thread. View all comments

locri t1_j67kvj9 wrote

Reply to comment by keepgrindingact in $2.5t spending potential held by Chinese consumers if reopens fully. by Infamous_Sympathy_91

I don't think it quite works like that, they're paid in Yuan/renminbi.

−25

YodaCodar t1_j67lf3u wrote

Demand is demand.

42

locri t1_j67m5s6 wrote

I'm 60% sure (I am not a real economist) it'll change the exchange rate of either currency and that has enough effect on the money supply to not necessarily cause inflation.

Grain of salt please.

I'm mostly confident because usually when something like this happens usually everyone actually benefits, the neoliberals cum everywhere at once and Kekkonen smiles down from the heavens.

5

cunth t1_j68az5v wrote

Cuban cigars have trippled in price over the last year and are still difficult to get largely thanks to a surge in Chinese demand. The sheer size of their middle class with discretionary income now is a force to be reckoned with.

If OP's data is true, it will undoubtedly affect demand for luxury goods at the least.

14

X_Danger t1_j68ntr4 wrote

Let's target some ads to these middle class individuals to get them investing into US stocks

And see how soon the excess turns to margin calls

1