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Generational Dynamics Web Log for 27-Apr-2020
27-Apr-20 World View -- CNBC's Jim Cramer: Hostility to China grows in America

Web Log - April, 2020

27-Apr-20 World View -- CNBC's Jim Cramer: Hostility to China grows in America

Growing evidence of China's malicious behavior in spreading pandemic

by John J. Xenakis

This morning's key headlines from

CNBC's Jim Cramer: Hostility to China grows in America

WHO's January 14 tweet stating that there was no evidence of human-to-human transmission and community spread.  The Chinese had already known for six weeks that there was human-to-human transmission and community spread.  This tweet was a global disaster, because it lulled many countries into complacency.
WHO's January 14 tweet stating that there was no evidence of human-to-human transmission and community spread. The Chinese had already known for six weeks that there was human-to-human transmission and community spread. This tweet was a global disaster, because it lulled many countries into complacency.

A lengthy rant by CNBC's Jim Cramer shows several aspects of how world opinion toward China is growing increasingly negative, starting with the US-China trade dispute, and more so with the Wuhan Coronavirus (Covid-19) issue. A growing minority consider the Chinese Communist Party (CCP) to be a criminal organization.

Cramer's rant was directed at China's reaction to a failed drug trial by the California company Gilead Sciences.

Gilead is one of dozens of American companies that are working to develop vaccines, treatments, therapeutics or even a cure for the Wuhan Coronavirus (Covid-19). Gilead has an existing antiviral treatment product, Remdesivir, that has been used to treat Ebola patients. In March, the FDA approved testing the drug for Covid-19 patients.

Gilead went to a great deal of trouble to get approval for a test of Covid-19 patients in China. The trial was ended last week, after being inconclusive. Chinese officials responded by trashing Gilead, trashing the trial, and getting the World Health Organization (WHO) to do the same. WHO was forced to retract its statement. Gilead issued a statement saying that the trial was ended because enrollment was too low, and said, "the study results are inconclusive, though trends in the data suggest a potential benefit for remdesivir, particularly among patients treated early in disease." Gilead accused China of posting "inappropriate characterizations of the study."

CNBC's principal commentator Jim Cramer commented on this situation on Friday morning with an extended rant (my transcription):

"And I thought it you listen to [Dr. Scott Gottlieb], you would conclude only one thing: That the Chinese have done very bad job in the way that they've handled us. And I've always felt that Remdesivir would help if you get it early enough. ... I think that the Chinese have been horrendous. And I think that the WHO has been horrendous, and I think that the combination of the two [China and WHO] against Gilead and the assault against Gilead [is horrendous]. And here's a company [Gilead] that's done its absolute best like many American companies, and I don't understand the animus of China to our own companies, other than the fact they regard us as a cold war opponent. ...

The reason that I'm discouraged about the Chinese is we have so many great things that are going on here by fantastic people who are really doing great things, and all we ever get from the Chinese is frankly a country that looks down upon us. They're number one, and they're the great power, and we're being treated by them and our companies are being treated by them with the greatest disrespect.

... That's how they treat us. Why does anyone say that?

I sat there and listened to what they [the Chinese] did with Gilead. First they said they didn't do the test, cause it couldn't get finished. Then suddenly they leak to the WHO saying how bad it is. Then it's pulled from WHO. In the meantime, all Gilead is doing, AND FOR FREE, is to try to come up with something that when you start early might work. And the disrespect [from China] is widely accepted [by the media]. Maybe Trump is a hot button [to the media]. But not the Chinese. The Chinese are revered. My father worked for the Chinese. God love them, they were nice to my father. Have you ever seen anyone just look down upon us, and say that we don't know what we're doing? Even the Soviet Union respected us from 47 to 87. They respected us. But -- What do they [the Chinese] think of us that they could treat us like this. And our drug companies? How many Nobel Prizes have they won?

... That's just the way I feel. You and I know that this idea that we're a fifth rate power and they would treat Ecuador better than us, and you saw Ecuador in the papers today."

I quoted Cramer's rant at length because I want to use it to make serveral points.

China's love for Ecuador

Let's start with the easiest one -- the reference to Ecuador.

Ecuador's infestation of Covid-19 is a mess, with many streets filled with bodies of dead people. That's the reason that Ecuador has been in the papers, but that isn't the reason that China loves Ecuador.

Thanks to China's "debt trap diplomacy," Ecuador owes $6.5 billion to China. In return, Ecuador is China's slave. China has deployed a massive surveillance spy system in Ecuador, the ECU-911 system, that can spy on all citizens, and sends its data back to China's military. By the way, similar systems have been sold to Venezuela, Bolivia and Angola. So that explains why China loves Ecuador. ( "13-Oct-19 World View -- Ecuador's president Moreno imposes curfew after 10 days of violent protests")

The Chinese master race

Jim Cramer is confused about why the CCP is so disrespectful of Americans and American companies. "I don't understand the animus of China to our own companies, other than the fact they regard us as a cold war opponent," says Cramer.

No, that isn't the reason at all. In fact, the Chinese do not see this situation as a "cold war." They see it as a prelude to a hot war.

China is unique as having an extremely racist view of themselves as superior to everyone else.

America is a "melting pot" of many races. Americans know that, and don't consider themselves to be some sort of superior race or master race. Instead, Americans see themselves as ordinary people who were lucky enough to be born in the greatest country in history. Most countries have similar views of their own people.

But not the Chinese. They are unique in a highly racist way, as I described in my book, "War Between China and Japan." Since ancient times, the Chinese have viewed the universe in three layers: The highest layer is the Kingdom of Heaven. The second layer is China, the Master Race, the Middle Kingdom -- yellow race, black hair, brown eyes, yellow skin. And the bottom layer is everyone else, the rest of us, the barbarians. The Chinese culture views the Chinese as a Master Race, superior to all other races. Even Hitler's Master Race Nazi attitude was not as bad, because it only survived a couple of decades. But the Chinese Master Race attitude has been firmly entrenched in the Chinese culture literally for millennia.

China's government, the Chinese Communist Party (CCP), considers itself superior to all other governments, and not bound by international law, or any international agreements that it has signed. To the CCP, joining the United Nations or the World Health Organization (WHO) or the World Trade Organization (WTO) or any international organization does not require China to abide by any commitments. The CCP considers itself superior to the organization, and is simply using the organization as a way of controlling and exploiting the barbarians for the benefit of the CCP.

So that's why the Chinese love Ecuador. To the Chinese, Ecuadorians are like cute little poodles that are controlled and monitored by the CCP masters, and who do as their CCP masters tell them. Who wouldn't love to be masters of a country of cute little poodles? But the CCP hates Americans because we aren't obedient poodles, and because we constantly prove that we're better than they are. As Cramer asks, "How many Nobel Prizes have they won?"

So this isn't some simple economic competition, or even a simple military competition. America's superiority to China is a definitive challenge to Confucius and to China's entire racist Master Race culture.

So Jim Cramer had no idea why the Chinese treat Americans with such enormous contempt, but if he reads this, then he'll finally know.

Global views of China continue to turn increasingly negative

Cramer's rant illustrates more and more widely held views that China is not a friend, but an enemy.

Americans have always had a friendly positive view of China. We helped them in World War I, and we saved them in WW II. Even when Mao Zedong was starving and murdering tens of millions of Chinese in the Great Leap Forward, even when the CCP was slaughtering thousands of peaceful young students in the 1989 Tiananmen Square massacre, it made little difference -- Americans loved China.

According to Pew Research, this changed sharply in 2011, when Xi Jinping came to power, as shown by this chart.

American positive and negative views of China, 2005-2020 (Pew Research)
American positive and negative views of China, 2005-2020 (Pew Research)

Views became less unfavorable in 2016-17, but then unfavorable views surged in 2018 with the trade dispute, and recently with the Covid-19 issue.

This change is even more pronounced by the people of India, who believe that China’s opacity and mismanagement is to blame for the global pandemic, according to a survey conducted by The Takshashila Institution in Bangalore, India. According to the survey:

According to a study of Indian social media, Indians are angry at China and the World Health Organization (WHO) for their mishandling of the pandemic, and they praise the efficiency and transparency of Taiwan's response.

I haven't seen any surveys of Chinese attitudes towards Americans and Indians, but it would seem likely that those attitudes are becoming more negative as well.

Growing evidence of China's malicious behavior in spreading pandemic

Evidence is growing that the CCP purposely took steps to spread the pandemic to other countries, and used the World Health Organization as a tool to do this. The motive was that China did not want to be the only country in the world experiencing a pandemic, and wanted to make sure that the pandemic spread to the US and other countries.

First, there's the question of where the virus came from. There are three theories:

The first of these theories is almost universally rejected, and there are investigations underway to determine which of the latter two theories is correct. However, it doesn't really matter too much which it is.

What matters now and what's important now is the CCP's actions once the virus started spreading in Wuhan. The circumstantial evidence points clearly, almost beyond a reasonable doubt, to the conclusion that the CCP purposely spread the virus around the world.

I've listened to several interviews on the BBC and elsewhere of Chinese officials being asked about these charges. These Chinese officials are really mealy-mouthed. They never try to explain their actions, but just blame everything on Trump, even though every country on the planet is going to suffer because of China's actions. It's proof of how stupid the CCP thugs are, if they think that we're so stupid we believe what they're saying.

I always say that the CCP officials are the dumbest bunch of thugs imaginable. You never know how they're going to handle a situation, but you can always be certain that they'll handle it in such a way as to make it worse. They've certainly done that in this situation.

The CCP thugs apparently believe that they can talk their way out of this, just as they've tried to talk their way out of their illegal annexation of the South China Sea or their genocide and ethnic cleansing of Muslim Uighurs and Kazakhs in East Turkestan (Xinjiang province). The CCP thugs are unable to grasp how dangerous the situation is, as the people of the world increasingly view the CCP as a criminal organization. This will not go well for anybody.

A thousand ways to end the lockouts

It now appears that we'll have to continue using face masks, "social distancing" and other containment methods until early 2022. The world will be a very different place by then, even more so if there's a war with China before then.

There are now about 3 million cases and 200,000 deaths worldwide, with almost 100,000 cases and almost 55,000 deaths in the United States.

If you're willing to step back from the horror of that many deaths, and look at the big picture, then there are some interesting experiments going on.

There are 50 states in the US, and there are countries and provinces around the world. So let's say that there are 500 different regions.

Then there are 500 different experiments going on for dealing with the virus. Some started lockdowns early, some later, and others had no lockdowns at all. Different lockdowns permitted different kinds of activities, whether buying groceries or jogging alone in the park, provided that "social distancing" and face mask rules are followed.

Now they're starting to end the lockdowns. Some are doing it early, some doing it quickly, some doing it later, some doing it slowly. Some will fail, and there will be a new resurgence of cases, and all the accomplishments of the lockdown will be lost.

That means that by the end of the summer, we're going to have a great deal of data and information on what works and what doesn't. It's widely expected that there will be a "second wave" of the pandemic in the fall, and in that case, all the data collected from these 500 experiments will be used to deal with the virus much more effectively than in the first wave.

So I'm going to call this "good news." People are always complaining that I post nothing but bad news, but this is one piece of good news: If there's a "second wave" in the fall, then we'll know how to handle it effectively, based on the experience of these 500 experiments.

John Xenakis is author of: "World View: War Between China and Japan: Why America Must Be Prepared" (Generational Theory Book Series, Book 2), June 2019, Paperback: 331 pages, with over 200 source references, $13.99


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