Panic In China Over Jobs, Economy, Cotton

[Joanne98]

The Telegraph is reporting China slashes interest rates as panic spreads.

Factory workers surround a damaged police car during a protest outside Kai Da toy factory in Dongguan, China. Photo: REUTERS

Government Response

Note the typical counterproductive government response, to prohibit companies from firing workers.

Factories will either pay those workers to sit and do nothing or those workers will produce goods at a loss that no one wants to buy.

http://globaleconomicanalysis.blogspot.com/2008/11/panic-in-china-over-jobs-economy-cotton.html

The Chinese get paid for sitting there and doing nothing? WOW!

:hurts: