Forget Europe, Worry About China: Hugh Hendry

“Some of these businesses will not survive; others will have to be radically restructured and my investors will make money," Hendry said.  Following Europe’s debt crisis it is “now commonly accepted that the magnitude of the financial problems confronting the world economy are so great that in all likelihood we will be confronted by a hyperinflation allowing sovereign debts to be paid off in worthless flat currency," he said.  China is at the mercy of its own credit bubble, Hendry said and he predicts it will explode as it fuels instability within the Chinese economy and political system.