China' Collapse is Coming

China's Collapse is Coming

The world’s second largest economy is on the brink of collapse, at least that’s what best-selling author and Forbes contributor Gordon Chang believes. Author of The Coming Collapse of China, Chang gave his outlook on the country’s economy, which remains grim -- more so now than ever. ‘Chinese leaders have the ability to defer crises,’ he told Kitco News. ‘As they defer them, the underlying imbalances in the Chinese economy are getting bigger, which means when adjustments comes -- which are inevitable -- they will be severe.’ To Chang, China is in more trouble nowcountry’s economy. ‘[Donald] Trump and Janet Yellen have much more effect on what’s going to go on in China than Chinese technocrats, who are at the mercy of the United States right now.’ And when this collapse happens, gold will move higher, he said. ‘People are going to the dollar as a safe haven and they’re going to go into gold because that has traditionally been where investors go when they’re really nervous.’