The business media is full of the meltdown of the Chinese stock market, the credit bubble and impending crash in the Chinese economy. But less well announced is the dangerous economic slowdown and already unfolding debt crisis in ‘emerging economies’ in general.
So for the first time since the emerging market crisis of 1998, all the large so-called BRICS (Brazil, Russia, India, China and South Africa) are in trouble. And so are the next range of ‘developing’ economies like Indonesia, Thailand, Turkey, Argentina, Venezuela etc.
Previously rising commodity prices in oil, base metals and food led to fast growth in many of these economies. This in turn led to a flood of capital from advanced capitalist economies by banks and companies looking for higher profits than available in their economies.
But the commodity boom has collapsed. Global commodity prices continue to plunge. Bloomberg’s commodity price index, tracking gold, crude oil…
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