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Wednesday, July 22, 2009

More Rio Tinto

Per the WSJ the price of raw ore has been increasing, hurting China's economics due to the Rio Tinto debacle.

It seems in 1996 China did something similar, where they arrested a Royal Dutch Shell manager. Shell refused any further business negotiations till the person was released. China's international reputation, as seen in this editorial, A Pawn in a Political Game, is not doing well.

If I was an ethnic Chinese thinking about working in China, what happened in Rio Tinto would be of concern. I joke with my wife that I am safe to go work in China since I am White, where since she's ethnic Chinese (Taiwanese), she has a higher chance of being arrested in a business dispute.

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