Thursday, October 18, 2007

Maybe corruption benefits stocks — or not

Somewhere along the way, stocks and justice — or corruption — will cross paths in China. Probably already has. Then it comes down to the individual investor and values. If the Chinese government won't allow gaming on its mainland turf, but promotes it in Hong Kong and Macao, is that hypocritical? Or is it just realistic?

That's a non-issue for me. The deeper concerns that I may have, or politicians and humanitarian groups have, is over human rights and illegal activities. This report asserts that China is still a land of toothless laws when it comes to corruption.

China Business: Toothless laws are no match for China graft

"China does things that will get media headlines and coverage, but they are at the stage of making examples of a few, hoping that others will follow and be honest, but they are not seriously digging deep and going after everyone," he said. "That's partly because there are still people in relatively high and untouchable positions who are corrupt."

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