An editorial in the December 5, 2011, Wall Street Journal, reports that Communist China's attempt to stimulate the economy with a building spree has not only failed but made matters worse:

China is a poster child for the Austrian school of economics' theory of the business cycle. After undertaking the biggest stimulus program the world has ever seen in response to the global financial crisis, the country is drowning in unproductive investments financed with credit....

Now comes the hangover. The public works projects are winding down, unleashing a wave of unemployment and an uptick in social unrest. The banks' nonperforming loans are rising, and local governments are insolvent. The country is littered with luxurious county government offices, ghost cities of empty apartment blocks, unsafe high-speed rail lines and crumbling highways to nowhere.

One effect of negative real interest rates was a nationwide bubble in private housing, with the average price of an urban apartment reaching eight times the average annual income. Real estate is the most popular investment for the wealthy, according to a central bank survey in September. Millions of luxury apartments are vacant, even as there is a shortage of affordable housing for the poor....

There is no easy way to avoid the bust that is coming. The silver lining is that China's increasingly state-led growth model will be discredited, and a debate will begin on restarting the reforms that stalled in the mid-2000s. A financial sector that allocates credit based on politics rather than price signals led China into this mess. Popular pressure to dismantle crony capitalism is building, and the Communist Party would be wise to get in front of it while it can.

Radio talk show host Neal Boortz, the self-described "high priest of the Church of the Painful Truth," wrote a college commencement speech intended as an ice-cold contrast to the usual cozy graduation platitudes. He has never had the opportunity to deliver this speech at an actual college commencement, but he has posted the speech on his website.  In the speech, Boortz deals with the history of American education, liberal feeling vs. conservative thinking, diversity, rights, homelessness and poverty, wealth and envy, and success and sensitivity.

If you'd prefer to watch than to read, here's a video of Boortz giving the speech at a benefit for the Make-A-Wish Foundation benefit on May 20, 2009.

Some key extracts:

I am honored by the invitation to address you on this august occasion. It's about time. Be warned, however, that I am not here to impress you; you'll have enough smoke blown your way today. And you can bet your tassels I'm not here to impress the faculty and administration.

You may not like much of what I have to say, and that's fine. This isn't the first time you're not going to like what someone has to say … your bosses, for instance. Things change today. There will be a lot less pandering to your every whim, and a lot more demands for performance. You will remember what I had to say though. Especially after about 10 years out there in the real world. This, of course, does not apply to those of you who will seek your careers and your fortunes as government employees … or as college professors.

You've heard the old saying that those who can - do. Those who can't - teach. That sounds deliciously insensitive. But there is often raw truth in insensitivity, just as you often find feel-good falsehoods and lies in compassion. Say good-bye to your faculty because now you are getting ready to go out there and do. These folks behind me are going to stay right here and teach.

By the way, just because you are leaving this place with a diploma doesn't mean the learning is over. When an FAA flight examiner handed me my private pilot's license many years ago, he said, 'Here, this is your ticket to learn.' The same can be said for your diploma. Believe me, the learning has just begun....

So here are the first assignments for your initial class in post-graduate reality: Pay attention to the news, read newspapers – as long as we have newspapers -- and listen to the words and phrases that proud Liberals use to promote their causes. Then compare the words of the left to the words and phrases you hear from those evil, heartless, greedy conservatives. From the Left you will hear "I feel." From the Right you will hear "I think." From the Liberals you will hear references to groups --The Blacks, The Poor, The Rich, The Disadvantaged, The Less Fortunate. From the Right you will hear references to individuals. On the Left you hear talk of group rights; on the Right, individual rights.

That about sums it up, really: Liberals feel. Liberals care. They are pack animals whose identity is tied up in group dynamics and the principal of looting. Conservatives and Libertarians think -- and, setting aside the theocracy crowd, their identity is centered on the individual – individual worth and achievement.

Liberals feel that their favored groups, have enforceable rights to the property and services of productive individuals. Conservatives (and Libertarians, myself among them I might add) think that individuals have the right to protect their lives and their property from the plunder of the masses. ...

We also need to address this thing you seem to have about "rights." We have witnessed an obscene explosion of so-called "rights" in the last few decades, usually emanating from college campuses.

You know the mantra: You have the right to a job. The right to a place to live. The right to a living wage. The right to health care. The right to an education. You probably even have your own pet right - the right to a Beemer, for instance, or the right to have someone else provide for that child you plan on downloading in a year or so.

Forget it. Forget those rights! I'll tell you what your rights are! You have a right to live free, and you have a right to whatever wealth you are able to produce with your labor. You'll be disappointed to learn that you have no right to any portion of the life or labor of another.... 

This "success equals luck" idea the liberals like to push is seen everywhere. One time Democrat presidential candidate Richard Gephardt liked to refer to high-achievers as "people who have won life's lottery." He wanted you to believe they are making the big bucks because they are lucky; all they did was buy the right lottery ticket. What an insult this is to the man or woman who works that 60 hour week to provide for a family.

It's not luck, my friends. It's choice. One of the greatest lessons I ever learned was in a book by Og Mandino, entitled "The Greatest Secret in the World." The lesson? Very simple: "Use wisely your power of choice."

That bum sitting on a heating grate, smelling like a wharf rat? He's there by choice. He is there because of the sum total of the choices he has made in his life. This truism is absolutely the hardest thing for some people to accept, especially those who consider themselves to be victims of something or other - victims of discrimination, bad luck, the system, capitalism, whatever. After all, nobody really wants to accept the blame for his or her position in life. Not when it is so much easier to point and say, "Look! He did this to me!" than it is to look into a mirror and say, "You S.O.B.! You did this to me!"

The key to accepting responsibility for your life is to accept the fact that your choices, every one of them, are leading you inexorably to either success or failure, however you define those terms. 

An August 9, 2011, Wall Street Journal editorial notes something hypocritical about the Chinese government and government controlled media criticizing the United States for our government's "debt addiction."

The People's Bank of China (PBoC) accumulated its forex reserves by borrowing yuan from the Chinese people. The U.S. dollar assets and yuan liabilities are roughly balanced on the central bank's balance sheet. If the U.S. government is addicted to debt, so is China's.

The purpose of that precarious balance sheet is to subsidize exports by keeping the yuan's value low and deferring inflation. An economy like China's that is enjoying rapid productivity growth would normally see rising real wages and hence benign inflation that would increase the cost of its exports. Because that process has been stopped, China's exporters remain competitive across a range of labor-intensive products such as shoes and garments in which the country no longer has a true comparative advantage....

In the short term Chinese threats to stop buying U.S. debt are empty, since there are no other asset markets deep and liquid enough to absorb the purchases needed to keep the yuan stable. Were China to buy euros or yen in sufficiently large quantities, it would soon run into a protectionist backlash in Europe and Japan as those nations ran trade deficits. The U.S. willingness to run a persistent trade deficit is key to the dollar's status as a reserve currency.