LuxuryBlurb

Posts Tagged ‘China’

CAN UNREGULATED GROWTH KILL?

Monday, February 4th, 2013

Posted by Leonard Steinberg on January 4th, 2013

While we tend to complain about the quality of air in New York, many things are being done that are truly effective in reducing harmful emissions. Aside from the electric hybrid busses, converting building boilers away from that black smoke belching oil, hybrid government vehicles, etc some buildings such as 150 CHARLES STREET are installing filtered fresh air systems that distribute clean air throughout the building thereby vastly improving the quality of life of its inhabitants.

Our gasoline is also refined differently to omit many toxins, and cars in the USA are equipped with catalytic converters that reduce omissions. Natural gas is helping reduce our reliance on oil. Solar and wind help too. My point is, much of this awareness is spurred by government policy and regulation. And while it would be lovely if industry did not need government to become more socially responsible, a quick peek at Beijing should answer why: China’s extreme growth and greed for profit has produced dangerous air quality. Many sources contribute to air pollution levels that hit records in January, but analysts say the oil companies’ foot-dragging and disregard of environmental regulations underscore a critical challenge facing a toothless environment ministry in its mission to curb air pollution.

With widespread and rising public anger changing the political calculus, it also poses a broader question of whether the incoming administration led by Communist Party chief Xi Jinping will stand up to powerful vested interests in a country where state-owned enterprises have long trumped certain ministries in the quest for economic growth at all costs. Delays in implementing stricter emission standards are rooted in money — chiefly, who should pay for the price of refining cleaner fuels? By some estimates, auto emissions contribute as much as a quarter of the most dangerous particles in Beijing’s air.

So while government is best at wasting money, it also has its uses. They become especially beneficial to society if industry and government work in harmony. If profit kills, its not good profit. If the pursuit of profit now produces untold health costs later, surely that profit is stupid and short sighted?

OCCUPY WALL STREET: EAST SWITCHES WITH THE WEST?

Tuesday, May 1st, 2012

Posted by Leonard Steinberg on MAYDAY, 2012

Mayday celebrations re-kindled the fuel of Occupy Wall Streeters to-day and it made me wonder:  Is Western society becoming more socialist in its thinking while traditional communist countries embrace capitalism?

China, Russia, Georgia and other traditionally communist countries are thriving with a capitalist spirit that is elevating millions out of poverty with economic growth that outstrips all expectations. Obviously corruption is rampant, although that has certainly not escaped Western-style capitalism. Yet here in the good ‘ole USA we see a larger group of people yearning for somewhat socialist principles, especially a large group of the Occupy Wall Streeters. Just like the Tea Party, they are a mixed group, so no-one should label them with one train of thought. Groups of this kind always attract extremist radicals (the curse of our planet) that muddy the message.

Government employment keeps rising. Frustration with the system ‘not providing enough’ keeps growing. We all scratch our heads why job-growth is slow, yet blind ourselves to the fact that there is massive job creation for US companies….but in other countries. The young educated graduates are outraged that there are no jobs for them, even though their qualifications and education have not prepared them for this new world order driven by math and science. We simply don’t like to accept hard truths. We expect to receive the exact same retirement benefits planned 50 years ago when life expectancy was considerably lower. We are surprised by Apple’s massive profits, only to discover that a good chunk of their profits are derived by (legal) tax evasion. Many are shocked that rents rise: surely with growing insurance, labor, tax, fuel and energy costs rents should stay the same forever? We are even more surprised that Walmart had to make large bribes to operate in Mexico….shocking!

So should we be shocked by this more recent growing social unrest?  Does it represent a trend? Probably not: with high unemployment, frustration with a system that hides from the truth, and extremists on the left and the right, we should not expect calm and order. Will luxury Manhattan real estate have to plan for tighter security and more discretion? Will the thinking of the communist regimes of the East infiltrate the West? Its unlikely, although who on earth would have imagined Louis Vuitton, Hermes, Rolls Royce, Chanel and Rolex thriving in COMMUNIST China?