The Exodus of China’s Upper Class Continues

Daniel Greenfield, a Shillman Journalism Fellow at the Freedom Center, is a New York writer focusing on radical Islam. He is completing a book on the international challenges America faces in the 21st century.


Most people missed the real point of the Bo Xilai story, which wasn’t about murder or the failed attempt to create a populist new Cultural Revolution. It was about how China’s upper class is trying to get as much money out of the country before the collapse happens.

After years of money flowing in, in the past year the trend has been reversing: cash is beginning to flow out of China. The Wall Street Journal estimates that $225 billion left  China in the 12 months leading up to September.

225 billion is serious money, even in a country with a GDP of 7 trillion, and as discussed previously, it’s one reason why China’s ruling class is afraid of American economic failure. America is the place, or one of the biggest places, where they keep their money.

China’s elites know better than anyone else how much of the economic growth is a scam and how much of China’s Century is  a sand castle built on water and they are taking care of their families first, moving as much capital abroad as they can into investments in safer countries.

Meanwhile their children pick up Western degrees and stay there. Even when they come back, they often retain some links that will allow them to quickly relocate at short notice.

China is not betting on China. It’s betting on the West.

  • PaulRevereNow

    Well. from an American perspective, this news isn't necessarily bad. When China collapses, at least they won't be able to steal anymore high tech secrets from us; and we might be able to force them to accept–and practice–trade beneficial to both America and Cathay. But in the meantime, don't buy ANYTHING made in China. You could get killed(Literally), or seriously hurt, or poisoned.

  • http://twitter.com/undefined @undefined

    Desperation will provoke wars, just a FYI.

    • Kufar Dawg

      I don't want to see China meltdown, at least not w/the looming specter of islamofascism is growing larger on a daily basis.

  • Andrew Whitehead

    A free market and a one-party system cannot exist in a country at the same time. They are mutually exclusive. China cannot change this basic law of the nature of man.

  • BENNETT

    ABSURD NONSENSE! Who writes this stuff and whats their source(s)? HILLARY Clinton? hahaha… FIRST: CHINA? I LIVE in CHINA and I can TELL ya first hand – WHO CARES! 'TOPICAL' FLUFF. ALL EYES SHOULD BE FOCUSED ON THE IMPENDING U.S. DOLLAR CRASH – NOT CHINA!
    2nd: If A leads to B, then B MUST lead to C- right? This article connects dots all OVER the place that dont have anything (literally) to DO with… well, anything else!
    3rd- FINAL: CHINA's CORRUPTION Prob isnt NEWS. Why u think San FRAN's Housing values continue to go UP when the rest of the CA., & the NATION is shot! This is one of many locations where Govt "officials" have been buying up properties with stolen Chinese $$$ – get it out of the country – for DECADES – didnt just start yesterday!

    NOTHING TO SEE HERE FOLKS. Move along now…

    GET SOME REAL CHINA NEWS! NO "CRASH" gonna happen B4 AMERICA'S – TRUST ME!! "ADUSTMENT"? Sure. why not. But CRASH? Hahaha…