I have expected some major efforts by the Chinese government to encourage internal economic development and consumption in the face of the global meltdown. In particular, I thought it would be the time to spread the benefits of infrastructure and its followup development to areas beyond the coastal areas. Nevertheless, I am surprised about the scale of stimulus package … [Read more...] about China announces aggressive stimulus plan
economy
(Letter from chinayouren) Crisis and The Great Wall of China
During my travels these last weeks in Europe and Asia, and on my return to China, I have observed some rather striking contrasts. So much that they made me think a lot about the present state of Chinese economy, and here is a word about it. Two different ways of seeing the world I was in Europe for the last time the week of the "Meltdown Monday", the one when the Lehman … [Read more...] about (Letter from chinayouren) Crisis and The Great Wall of China
Lessons for China from the world financial crisis
With Iceland close to bankruptcy and the world's financial system going to hell, China stands somewhat apart in its relative isolation. Asia Times has an intriguing article on this: "In the past, China has been blamed for the low-degree of internationalization of its financial industries. Now it seems we are profiting from this 'fault'," the commentary said. Many Chinese … [Read more...] about Lessons for China from the world financial crisis
(Letter) How fast China can catch up the US in GDP? It may be faster than you think.
In 2002, the GDP of China was 10.2 trillion yuan, and the GDP of the US was 10.6 trillion US dollar. At the year-end exchange rate, China's GDP was 11.7% of the US'. In 2007, the GDP of China was 24.7 trillion yuan, and the GDP of the US was 14.0 trillion US dollar. At the end-end exchange rate, China's GDP was 24.0% of the US'. If we assume the relative paces of the … [Read more...] about (Letter) How fast China can catch up the US in GDP? It may be faster than you think.
Unity is strength – Shenzhen home-buyers try group buying
There is probably only one other issue capable of challenging the Olympics for national attention in China right now: the collapse of the housing market in China, led by Shenzhen. Home prices in Shenzhen grew very rapidly in recent years (on the order of 50%-100% ), and now appear to be falling just as quickly. But for some people, it might not be falling fast enough. Two … [Read more...] about Unity is strength – Shenzhen home-buyers try group buying