Comment by ohdeargodno
6 hours ago
"Capitalism good, but state capitalism bad".
Not only are US VCs dumping billions in shitty Bluetooth connected dog collars and other kinds of crap, apparently according to you because that's "what the market wants", it's also an incredibly stupid reading of how the Chinese government works.
They target specific industries that are important, according to them, like solar panels, batteries, cars, etc. They then dump billions into a bunch of companies, and see which ones come out alive and on top.
As it stands, it's been pretty accurate for many things, and has made them market leaders on many, many things. But sure, jerk off the VC model, after all YC thinks the market wants... AIs and ERPs. Woo.
I'm failing to see where our descriptions diverge. You aren't acknowledging is that China has unbelievable waste and crushing debt from it (provincial debt, because they typically finance these projects).
Of course the system is great for getting projects build and advancing. China has a massive workforce to fund it's money hose. It's awful for doing it efficiently, because there is no incentive to be efficient when you never have to pay the creditor back.