BlackRock CEO Fink Says Modern Monetary Theory Is ‘Garbage’

[neke]

However the West needs to be smart and alert that a certain East Asian country does not step into the breach when Zimbabwe is down on its knees.

Why should the West care about another country stepping into the breach? Is it a competition? And Zimbabwe is the battleground?

 

[piezoe]

Too late....
All the productive farmers have fled to Australia and NZ where they were accepted with open arms, taking knowledge and work ethics with them.
As we know, if you 'drain the bank' it takes a lot of effort to replenish and most often that never happens.
However the West needs to be smart and alert that a certain East Asian country does not step into the breach when Zimbabwe is down on its knees.

You are correct, in that Zimbabwe did lose all that expertise, and most importantly, work ethic! It will be extremely difficult to regain it. They are advertising for people with agricultural experience, but who is going to want to trust the government after they nationalized all the farms? I suppose if they offer enough incentive they may find some takers. But it is not going to be easy after Mugabe made such a mess of things. He acted out of a desire to reward his freedom fighters, a noble sentiment, but in the process he wrecked what was Rhodesia's very productive agricultural sector.

We should take note of how closely productivity and fiat currency valuation is linked. Outwardly it appears that currency values are determined by supply and demand through the Forex markets, however this is not the real basis of value, but simply a reflection of the perceived value. Perceived value is subject to rapid change and can easily be wrong. The real basis of value behind fiat currencies is the ratio of productivity to the amount of currency in circulation.

 

[themickey]

Why should the West care about another country stepping into the breach? Is it a competition? And Zimbabwe is the battleground?

It's strategic militarily and do you want communism spreading in Africa, ?