Want to understand why the "China slowdown" is a myth.....send them to this article
- http://www.smh.com.au/business/the-economy/dont-buy-the-china-doom-and-gloom-stories-just-yet-20151119-gl2oep.html
No truer words on the subject have ever been said
But this just shows that even money-market types can be innumerate. As the distinguished former economic journalist Anatole Kaletsky has reminded us, China's GDP today is $US10.3 trillion ($14.5 trillion).
In 2005 it was $US2.3 trillion. So even just 4 per cent of $US10.3 billion is much more than 10 per cent of $US2.3 trillion.
Yes China has cut back on steel and iron ore etc as they are moving more to of a market economy rather than a production economy, eg they've built the shopping malls over the past 25 years and are now spending/earning cash in them.
What Australia needs to get ready for is feeding China with our clean and green food/textile production capabilities. There will be more customers clamoring for our produce in Asia
"will have more middle-class customers than the United States and Europe put together".
- http://www.smh.com.au/business/the-economy/lets-beef-up-our-relationship-with-indonesia-20151119-gl3efi.html
The next big issue is how do Australians generate enough income to be able to afford to keep up with the purchasing power of a middle class Asian shopper hungry for our produce......
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