China Just Overtook The US As The World's Largest Economy by PPP

[j20blackdragon]

Doesn't make sense unless they recently changed ppp calculations. China was 3 trillion behind us last year. But then again I have read sources stating that china ppp was understated because prices are much cheaper in rural china yet economists were using prices from tier 1 and 2 city to calculate ppp. 50 percent of china is still rural so that could be a reason for the large ppp increase.

GDP, PPP (current international $) | Data | Table

Congrat. 1.4 billion of Chinese and FDI just reach the same production value as 0.3 billion of US could make.

You now have territorial disputes with the world's largest PPP economy. Good luck Vietnam.

 

[angeldude13]

Congrats chinese people.
21st century will be the asian century

 

[vostok]

Good work China!

 

[powastick]

Doesn't make sense unless they recently changed ppp calculations. China was 3 trillion behind us last year. But then again I have read sources stating that china ppp was understated because prices are much cheaper in rural china yet economists were using prices from tier 1 and 2 city to calculate ppp. 50 percent of china is still rural so that could be a reason for the large ppp increase.

They change it because they need to pressure funding from China. And stuff like CO2 emission and those so call responsibility.

 

[VCheng]

Congratulations!

 

[tranquilium]

Doesn't make sense unless they recently changed ppp calculations. China was 3 trillion behind us last year. But then again I have read sources stating that china ppp was understated because prices are much cheaper in rural china yet economists were using prices from tier 1 and 2 city to calculate ppp. 50 percent of china is still rural so that could be a reason for the large ppp increase.

Depending on the agency doing the calculation. For example, by IMF and CIA, China's PPP last year is about 3.4 trillion USD behind USA. However, by world bank, China's PPP last year is only 642 billion behind USA.

 

[Desertfalcon]

It is impressive but as an earlier poster pointed out, it is comparing a country that has 1.1 billion more people than the United States. China should have a huge and growing economy. Just think of how much more prosperous and influential China would be if she matched her dynamic market-driven economy with real political reform and true democracy.

 

[Aepsilons]

How pleasant to hear.

 

[j20blackdragon]

Depending on the agency doing the calculation. For example, by IMF and CIA, China's PPP last year is about 3.4 trillion USD behind USA. However, by world bank, China's PPP last year is only 642 billion behind USA.

The IMF is the one making the current estimates.

IMF: Chinese Economy Surpasses U.S. - The Daily Beast

PressTV - IMF: China overtakes US as world’s largest economy

 

[Nova2]

Congrats guys !! Another 7-8 yrs and china would be the leader on the nominal basis aswell

Doesn't make sense unless they recently changed ppp calculations. China was 3 trillion behind us last year. But then again I have read sources stating that china ppp was understated because prices are much cheaper in rural china yet economists were using prices from tier 1 and 2 city to calculate ppp. 50 percent of china is still rural so that could be a reason for the large ppp increase.

I dont know what hv they done,but there certainly been a rise in these economic figures in PPP. Its the same for India aswell,about 2 days ago India PPP estimate for 2014 by IMF was $5.1trill now after revision it has shot up to $7.7trill. Strange.

 

[j20blackdragon]

It is impressive but as an earlier poster pointed out, it is comparing a country that has 1.1 billion more people than the United States. China should have a huge and growing economy. Just think of how much more prosperous and influential China would be if she matched her dynamic market-driven economy with real political reform and true democracy.

India has 1.2 billion people and true freedom and democracy.

 

[Desertfalcon]

India has 1.2 billion people and true freedom and democracy.

Yes, and India is next in line after China in GDP (PPP). India's economy has been, and still is in many ways, far more socialist and with far greater government intervention, than China's has been since the 1980's. That has only begun to change in India very recently.

 

[TheNoob]

Congrat. 1.4 billion of Chinese and FDI just reach the same production value as 0.3 billion of US could make.

are you viets always that negative?

 

[j20blackdragon]

Yes, and India is next in line after China in GDP (PPP). India's economy has been, and still is in many ways, far more socialist and with far greater government intervention, than China's has been since the 1980's. That has only begun to change in India very recently.

Bangladesh has a higher population than Russia. Shouldn't Bangladesh be a nuclear superpower by now?

 

[tranquilium]

It is impressive but as an earlier poster pointed out, it is comparing a country that has 1.1 billion more people than the United States. China should have a huge and growing economy. Just think of how much more prosperous and influential China would be if she matched her dynamic market-driven economy with real political reform and true democracy.

Not this again. Considering how well (read: disastrous) every country that adopted "democracy" after WWII did, I think we will pass on that. Open elected government does have a lot of perks, but long term planning and high efficiency are not among them.