The following charts show an interesting story of unsustainable growth and over-exuberance by China cheerleaders nearly everywhere.
$SSEC Shanghai Stock Index
Notice the bubble in 2007. That's when all sorts of ridiculous decoupling theories, US hyperinflation scenarios, US treasury crash scenarios, crude is going to $200, Natural Gas is going to $40, and other nonsensical ideas came out of the woodwork, many in book form, some still persisting to this day.
Instead, the reverse happened! It was the US that decoupled from the global economy. Moreover, China has been exposed for the malinvestment bubble that it is.
Now, in 2012, nearly everyone but the die-hard hyperinflationists thinks the US will decouple from the global economy. _Mish
China's export markets -- the EU and North America -- have experienced reduced demand for Chinese goods which shows no sign of return to the pre-2008 bubble days.
China's economic model of stealing from the poor and giving to the well-connected rich, will continue only so long as the people allow it. Watch and learn.