China’s economy might be bigger than previously thought

[haviZsultan]

I'm from Central China, the province in the very centre of China called Hubei(means north to the lake)
The average GDP per capita of Hubei is just the same level as average of China（national $7500, provincial $7700).

Within the province, there are cities with GDP per capita reaching $15000(my city) and also mountainous prefecture with less than $4000. However, regional differences of living standards are not that big, since tax revenues will be redistributed based on population. If u travel to the most economically backward region in mountainous Hubei, the local public services are pretty much the same.

My city
(major industrial hub in Central China, one of major education centres of China)
View attachment 260798

Some photos of my railway trip from my city to the mountainous regions in the province,
u can see how landscapes are gradually changing.
https://defence.pk/threads/chinese-hsr-news-and-information：original-translations.363685/page-24

Mountainous regions, lowest GDP per capita
View attachment 260800 View attachment 260799

@haviZsultan Central China($2 trillion) and Western China($2 trillion) are China's less developed regions but China's fastest growing places.
My province achieved top10 economic growth in H1 of 2015.
8.7% (1-6th month)
View attachment 260801

Nice information buddy. We Pakistanis face a similar situation especially in the rural areas where the benefits of economic development have not really reached. We have around 25,000 ghost schools in Pakistan, telling us of the immense problem of corruption and lagging fields of education.

We all should work together to improve the economy. 1.2 billion Chinese moving to a better standard is good for the world. It also means poorer country's like mine feel affinity with China. We feel that a nation that was once poor and is now growing rapidly is a paragon for other under-developed nations. We wish China expands both economically and martially.

 

[AndrewJin]

Nice information buddy. We Pakistanis face a similar situation especially in the rural areas where the benefits of economic development have not really reached. We have around 25,000 ghost schools in Pakistan, telling us of the immense problem of corruption and lagging fields of education.

We all should work together to improve the economy. 1.2 billion Chinese moving to a better standard is good for the world. It also means poorer country's like mine feel affinity with China. We feel that a nation that was once poor and is now growing rapidly is a paragon for other under-developed nations. We wish China expands both economically and martially.

China unveils 600 South-South Cooperation projects

 

[XiaoYaoZi backups]

装穷是门技术活，但是装过了也不好，容易降低市场预期。

 

[AndrewJin]

I have downloaded the report.
Share some informative charts with you.

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Any comments?

 

[大汉奸柳传志]

I have downloaded the report.
Share some informative charts with you.
View attachment 260962
View attachment 260963


View attachment 260965


Any comments?

Are we adopting the double counting R&D like the US？or is there any difference？

 

[Jlaw]

Whether it comes to production or consumption, China is massive!

In production in pretty much every sector, China is number 1.

In goods consumption (automobiles, smartphones, tv, computers, etc) China is number 1 in many sectors.

It is in services consumption (movies, healthcare, financial, etc) where the US has a lead over China in many sectors.

As I said previously to Martin, China is now the largest manufacturing nation in the world. China is also the largest trading nation in the world (largest exporter and 2nd largest importer).

124 countries consider China as its largest trading partner.

Next stage for China is developing the service sector, continue to be a large global investor (both direct and portfolio), and increase the usage of the Renminbi.

China has already achieved scale, now it's about efficiency.

I can't wait until China has the biggest service & manufacturing sector in the world

1.ChIna's GDP excludes virtual rent while virtual rent is 1/10 of USA's 17 trillion $ GDP,which is almost equal to india's total GDP.

2.besides useless virtual rent USA's GDP is full of many sections harmful to people's real life quality,such as overpriced lawsuit/medical care service and wallstreet poisonous bonds.

3.the real~wealth~creating sections(manufacturing,agriculture,mining and onstruction) in USA is now much less than CHINA Now.
For example, china has produced/consumed more concrete in the past 5 years than USA has in the past 100+ years.

4.with its mighty and efficient 'real~wealth~creating sections'(manufacturing,agriculture,mining and construction),china can afford massive infrastrctue upgrade for the world much more easily and efficiently than USA and the whole west world.
THAT is why china now can not only upgrade china's infrastructure world class,but also asskick west countries in global infrastructure market.
That is also why china could finish more expressways and highspeed railways in the past 15 years than the rest coutries combined have in the past 50 years.

5.china' mighty 'real~wealth~section' also provides high cost~performance industry products,food and house for chinese people.
That is also why chinese real life standard is higher than that in many countries with higher nominal GDP,such as brazil,mexico and turkey.

Good points. Most people just focus on GDP/person (I am one of these people) but mechanism for real wealth creation is the important factor that tend to be ignored by western media.

What about China's enormous "underground economy" which is estimated by many economists and analysts to be worth over 3 trillion US dollars?

A case in point: when was the last time you guys get a receipt for dinning at a restaurant or night club?

The case in N America as well.

Haha, I never ask, let them save some taxed receipts.
Underground economy in China is everywhere.


They know too much, not good for us.

I'm guessing most the information are provided to them by Chinese because of posts from Chinese forums, etc.

It's best to keep something a secret.

 

[AndrewJin]

Are we adopting the double counting R&D like the US？or is there any difference？

i haven't finished the report, too damn long! 200+pages.
There is a chapter on R&D.

Research and Development Expenditures

When NBS signaled in November 2013 that it intended to migrate to 2008 SNA by late 2014 or early 2015, some suspected an intention to overstate actual GDP or meet political goals set out in growth targets.213 Such conspiracy theories are misguided. Advanced economies and the more capable developing nations worldwide are also in the process of comporting to 2008 SNA. This is not about accounting tricks but better statistical regimes. Moreover upward revisions to capture previously unrecognized activity make it harder to achieve higher growth results in the future, not easier. In the end, Beijing deferred stepping up to 2008 SNA when it released results of the third national economic census in December 2014 —a reality NBS acknowledged in early 2015. In this section we assess what the transi- tion would have done—and will at some point mean—for Chinese GDP, in particular the effect of counting research and development (R&D) expenditures as investment (a part of expenditure-based GDP), rather than just as an intermediate expense (which is not counted).

 

[ramu]

Under reported GDP is like discovering a tenner under the bed. It is always good to find it. But it also means that this money makes the GDP growth numbers look a tad smaller.

 

[大汉奸柳传志]

counting research and development (R&D) expenditures as investment (a part of expenditure-based GDP)

Well that‘s really great，since we still calculate production-based GDP rather than expenditure-based，I see R&D hardly gets double counted unlike America.

Which meanswe still have the high ground to bash them !!

 

[hexagonsnow]

Lol............I love China and it's people but the Chinese seem to be getting more advanced, powerful and bigger in every aspect and sphere of life every second. We could do with some of that in CPEC.......Well done Chinese brothers & sisters.....GO CHINA GO!

Chinese guy prefer to do rather than boasting themself.