roadrunner
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^^ we shall see.
I think China is going to come out of it a bit better off.
I think China is going to come out of it a bit better off.
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India has 260 billion reserves that is 25% of its economy.
By any standards it is in good position to handle meltdown.
^^ we shall see.
I think China is going to come out of it a bit better off.
I think "I hope or I pray" would be a better word but I know you have serious issues differentiating the two.
You like to believe what you hope or what you would like, not what the facts scream at the face.
Again, manufacturing toys or shoes is something that can be done anywhere. A lot of manufacturing is already moving out from China to other destinations like Vietnam, something you may not be aware.
I am sure even the Zulus, Tutsis and Hutus of Africa can manufacture these goods once the factories are set up. Heck in the next 100 years even Afghans may be able to do that once they reach the levels of the Zulus or Hutus.
But I doubt they will start becoming IT pros any time soon!
At 50% to India's 20%, India is in a much worse position than China versus the global meltdown.
India's savings rate is now close to 35 % while China's is 50% as you rightly pointed out.
India's savings rate to drop to 34%
India depends less on global markets as her domestic consumption is bigger in ratio compared to China.
China may still do better than India during these tough times but not because of the reasons that you are listing.
I listed savings and expendable exports. Let's not resort to misquoting me!
I think for those reasons alone China is better able to withstand the global effect.
A lot of the exports like jewelry and textiles just won't be wanted.
At 50% to India's 20%, India is in a much worse position than China versus the global meltdown.
They most probably will, but not because their export oriented products are "essential."^^ we shall see.
I think China is going to come out of it a bit better off.
They most probably will, but not because their export oriented products are "essential."
China will be better off because:
1. The overall size of their economy is much larger as are their coffers.
2. Their reforms and infrastructure development has been more sound, of greater scale and coming along for a much longer duration that that of India's.
And this leaves them with more options particularly in reorienting their economy inward at a faster rate.