Chinese can be very peculiar about some things.
One thing which is especially peculiar by western standards is that they get really annoyed and angry when a lot of money is lost, and they are not afraid to say so. Take the Chinese government’s loss, er investment, in Blackstone Group for example.
Within several weeks of the investment being made, Blackstone’s share price took a bath, and many Chinese got really angry. As a matter of fact, they got so annoyed that they actually demanded accountability. They reasoned that since this was their money, they had some say about it.
Obviously not a rational move. They just don’t understand the rules of the game.
Compare this with the subprime mortgage scandal in the US, which has morphed into a never-ending nightmare, seemingly growing bigger and bigger all the time…
Has anyone been blamed or gone to jail? No. Has anyone been held accountable? No. Have newspaper editorials placed the blame on anyone for the disappearance of billions, maybe trillions, in dollars? No. Is anyone angry because the futures of millions of Americans have been put in financial jeopardy? No. Have you heard any of the candidates talk about doing something about this? No.
We are above such petty finger-pointing, which won’t do any good anyway.
We’ve got more important things to worry about like race, and the right to life, and illegal immigrants taking American jobs, just to name a few…
In the meantime, the Chinese are having a hard time finding Chinese fund managers who want to invest and manage their trillion+ in reserves, especially since the Chinese manager of the Blackstone Group investment was unceremoniously removed from his post. Managing all this money sounds like an invitation to an execution.
In the meantime, the French are partying with recent events of their own at Societe Generale…
In light of recent events, many Chinese can be excused if they think that globalization sounds more than a little like an invitation to the premier crossing of the Titanic from Southampton to New York.
UPDATE: Just in case you had any doubts the inmates might indeed be running the insane asylum, read this.
(hat tip to Chris Masse).