China's Economic Miracle Is Over

[Trichy]

Yup. I guess Indians are disappointed.

yes very much, b'cos we grow @ 8+% compared to china 10+%...

feared of pakistan economy

...

Well then why isn't same "indian logic" applied to Indian tall claims of double digit growth and even surpassing china??? China and Japan are the Asian giants and India is secondary. If there isnt much demands for the two then where will india sell?? to itself???

A point to say china is export oriented economy, India is local consumable driven economy

 

[Gandhi G in da house]

if you take into account GDP per capita income in PPP terms and HDI , i think china will be a basic developed country by 2025 ( level of barbados , portugal , slovakia today ) and i dont see their growth slowing substanially beofre that however i do believe it will be difficult for them to continue growing at 9-10% for much longer.

 

[Jungibaaz]

whoever wrote this article, missed out one little point: recession

Compared to most other countries China is ding well and shall continue to do so...

 

[desiman]

The Chinese are not dumb, they know what they are doing. China and India are bound to control this century, whether the west likes it or not. This so called economist make money by writing what people in the west want to hear. The Asian will again rule the world like we have for thousands of years.

 

[SXNJ]

Inflation? yes, it's true, food price rise a lot in these days.
but if Chinese government is willing to do, it can reduce the price in 1 month.....

 

[Jade]

Even if, the unemployment in the rest of the world is driving labor cost down, the differential between labor cost in China and the West is large enough not to be filled in short term…so IMO the China’s Economic miracle should continue; moreover, attributing China’s Economic miracle only to cheap labor is gross simplification

 

[Chinese-Dragon]

Face the reality the Bollywood daydreamers, the smell bad, the no basic hygiene, the no toilets and streets defecating......

No flaming please.

 

[Solomon2]

China's boom can be extended by shifting production from catering to foreign to servicing domestic demand. This can only be done by maintaining a flexible labor market.

And from what I read the labor market is flexible. I read one story of a Chinese factory whose managers live in perpetual fear that the company cafeteria will serve a bad meal, certain that their workers would respond by quitting en masse to work at the factory across the road!

 

[CardSharp]

China's boom can be extended by shifting production from catering to foreign to servicing domestic demand. This can only be done by maintaining a flexible labor market.

And from what I read the labor market is flexible. I read one story of a Chinese factory whose managers live in perpetual fear that the company cafeteria will serve a bad meal, certain that their workers would respond by quitting en masse to work at the factory across the road!

China will extend its boom by climbing relentlessly up the value chain. Also I believe though domestic consumption will expand rapidly, it will still lag behind China's production capacity (in other words the trade balance is going to be here for a while)

 

[conworldus]

Germany's export is like 60% of its GDP, so what?

The calculation of GDP is the net export, not raw export figure. China imports tons of resource these count as negative GDP. China also imports tons of machineries from countries like Germany and they also count as negative GDP. I don't know why so many "experts" are obsessed with Export/GDP ratio.

By the way, current inflation level of 3%, while over the target, is hardly alarming like people like to exaggerate. For Indian members please check your own inflation rate before bad mouthing China. Lack of inflation can also be a problem (Japan, anyone?)

 

[Nomenclature]

was amazed by a figure in the article
food inflation 34%
is that real C-D?

Read again. The 34% figure is for % of income spent on food. The figure for food inflation is 10.8%.

 

[no_name]

China will extend its boom by climbing relentlessly up the value chain. Also I believe though domestic consumption will expand rapidly, it will still lag behind China's production capacity (in other words the trade balance is going to be here for a while)

A challenge in future would be to keep competitive across all value chains as living standards increases.

It might be quite dangerous to loose ability to produce low value goods.

 

[graphican]

Keep dreaming, China isn't falling anytime soon.

True.. China wouldn't fall unless it decides to fight a war in Afghanistan.. But I hope Chinese are not DUMB unlike Americans and Russians.

 

[CardSharp]

A challenge in future would be to keep competitive across all value chains as living standards increases.

It might be quite dangerous to loose ability to produce low value goods.

Of all the things you worry about

 

[no_name]

Wages will increase with living standards. Chinese companies will not lose chance to outsource if they feel they can make it cheaper from other countries.