BFL13 wrote:
The market place seems to be operating as it should. :) It will sort itself out.
When governments step in to pick winners with subsidies (where their voters work) we all lose eventually.
The only complication is if the only source of whatever becomes a bad guy who holds you to ransom.
It's not that. Like other posted noted, China plays by different rules. Or - no rules, if you will. With the role that government plays in China, I'm pretty sure that they subsidize whatever they find necessary for their plans - not always immediate interests of their population, but long-term plans of China, which is eventually the world domination. There is no transparency and it's impossible to tell what and how much they subsidize, to achieve this goal. We only see the results, - some of it.
The above stereotype of a "bad guy in market" is obsolete. In many sectors Chinese government - having a top hand in all major companies of China - has in fact become this kind of a "bad guy", since you/we have nowhere else to go.