Author Topic: Crazy economic growth of China (Read 4380 times)

darkjedi · « **on:** July 13, 2009, 03:04:41 AM »

http://www.economywatch.com/economic-statistics/China/GDP_PPP_US_Dollars/

According to EconomyWatch China's going to increase it's gross domestic revenue by 1 trillion USD between 2009 and 2010 WTF?

by comparison Japan's economy is going to increase by meager 150 billion in the same time frame, India by 330 billion, and South Korea by 90 billion. It's earning more than the rest of the Asian superpowers combined. China has a new age set for us for the new decade.

Carnivus · « **Reply #1 on:** July 13, 2009, 03:19:06 AM »

China does have about 1.5 billion people,so it's not a big surprise...As I remember it's almost illegal to have 2 kids in China,just imagine how big the condom market is there...

darkjedi · « **Reply #2 on:** July 13, 2009, 03:37:21 AM »

Quote from: Carnivus on July 13, 2009, 03:19:06 AM

China does have about 1.5 billion people,so it's not a big surprise...

That maybe so, but 1 trillion is just... overkill. It's like the entire South Korean economy increased two-fold in a single year. And the projection shows no sign of Chinese economy slowing down until 2013. They'll be overtaking U.S. by the 2020s at this rate, if not sooner, making trillions annually. But I guess it's about time.

It's been too long that Asia's lived under the Western sphere of influence, and see where it has led us; global recession. We need a change of players. Better to fight the green piss (is that what they are called?) than money.

nates1984 · « **Reply #3 on:** July 13, 2009, 04:55:22 AM »

How much of China's economy is cheap products made for the West?

That's the question you should ask.

darkjedi · « **Reply #4 on:** July 13, 2009, 05:06:32 AM »

Quote from: nates1984 on July 13, 2009, 04:55:22 AM

How much of China's economy is cheap products made for the West?

Does it matter? I don't see the Western world stop trading with China on fear of China's economy growing too powerful with its 'cheap industry', when it's the biggest importer of Western products. I mean, why do we need to ask that question? China's economic growth is not going to stop either way.

nates1984 · « **Reply #5 on:** July 13, 2009, 05:27:44 AM »

I think it's relevant to ask in what ways the economy is going to grow. So what if they surpass American GDP if they're just pumping out cheap plastic trinkets. More importantly, it makes them inherently dependent on the West, which ultimately will restrict growth to what the rest of the world can offer them.

Fuck growth, I want to know when China will switch gears and begin to be more of a modern economy rather than a third world sweat shop. Who cares about piece of shit products from backwards factories.

darkjedi · « **Reply #6 on:** July 13, 2009, 05:47:24 AM »

In my limited mind more GDP already means more money to spend for importing Western goods, and that's a start. If they spend 1.3 trillion USD for imports when their GDP is 8 trillion USD right now then when it's 16 trillion 6-7 years later they could be buying twice as much from the Western world, and 2.6 trillion USD is a huge share in the global market. Of course if their exports can't keep up they won't be buying that much, but you get the idea, right? I myself am betting that their exports can still keep up considering that there are other countries that buys a lot of stuff from China aside from the G20, and even among the G20. (Turkey, Russia, India, Indonesia, South Korea, Japan, etc) The Western world will not be that keen either to impoverish their largest trading partner by refusing to buy their 'cheap products' when they precisely need a large buyer from the East in the midst of waning Western economy, and Canada and the Gulf states will still have to export a lot of oil and natural gas to China. (It's the biggest oil and gas importer next to U.S. and E.U.) China's influence on the global market is everywhere. And I'm sure China can use their purchasing power in many more ways that can affect world economy significantly.

AceHigh · « **Reply #7 on:** July 13, 2009, 06:24:45 AM »

Quote from: darkjedi on July 13, 2009, 03:04:41 AM

It's earning more than the rest of the Asian superpowers combined.

China is the only Asian superpower (not counting Russia, because it is in politically European). Other countries in Asia either lack the nukes or international influence = not superpowers.

darkjedi · « **Reply #8 on:** July 13, 2009, 06:30:38 AM »

I'll rephrase, then.

'economic superpowers'

Happy?

They have large influence in world economy so they are economic superpowers. They all belong to G20. If any one of those countries are lost the world economy will be jeopardized and that's how important those countries are.

bobjoe · « **Reply #9 on:** July 13, 2009, 06:54:01 AM »

China actually IS moving away from the plastic trinket/3rd world sweatshop industry, although slowly. They have begun buying western brands and have demonstrated that they can provide the same quality product on just as large a scale, if not on an even larger one.
For example, Chinese are very proud of Lenovo, who acquired the thinkpad line as well as all of IBM's other PC lines a few years ago, and who have been able to keep up its massive popularity even in the US.

Now, with the economic downturn in the US, they are buying even more brands, such as Hummer (and possible more GM brands too). 15 years ago, there was no such thing as a Chinese Car or a Chinese computer in the US, but both of those things are changing now, and fast. They could probably move into any industry they wanted with the same success, and our present economic status in the US is only making it easier.

The economies of China and the west are still to interdependent for even a shift in the top dog position to really effect the status quo (if china's economy became larger than the US, the world wouldn't necessarily end right there), so something else is going to have to change before anything really interesting happens.

darkjedi · « **Reply #10 on:** July 13, 2009, 06:57:37 AM »

What if China suddenly decides to become full capitalists... lol!

AceHigh · « **Reply #11 on:** July 13, 2009, 07:01:55 AM »

Economic "great powers". Who the fuck cares about G20? It's the G8 that really matters now. To have a label as an economic superpower you need to be nearly dominating on international level.

Carnivus · « **Reply #12 on:** July 13, 2009, 07:13:04 AM »

Well,looks like China knows how too atack this Economic Crisis...oh...and China produces on 3 levels,just like any other countries...Good Average and Bad....it's nobody's fault that the "Bad" market of China is the most distributed...

AceHigh · « **Reply #13 on:** July 13, 2009, 07:22:56 AM »

Huh? Oh..... when i heard 3 levels, I thought you meant Agriculture Industry and Service.

darkjedi · « **Reply #14 on:** July 13, 2009, 07:57:02 AM »

It seems once again that you and I have different standards in classifying a country as an economic superpower. Any country that has the potential to significantly sway the balance of world economy (that includes China, India, and South Korea, who are not among the G8) through action or inaction has enough influence in the global market such that I'll classify them as economic superpower, and that's my standard. That basically includes all of G8 and some of G20; (and also a few from outside the G-groups) removal of any of those countries from the cooperative will result in at least a severe regional instability (even countries like Indonesia and Saudi Arabia can affect that much, who are far from being economic superpowers by several years; what do you think will happen if India or SK was removed?) that can on the long run affect world economy. I'll not classify all G20 countries as economic superpowers, but Japan, India, and South Korea I definitely will. They are integral for maintaining the economic status quo internationally.

So who cares about G20? I do, and I bet a few million others do also.

AceHigh · « **Reply #15 on:** July 13, 2009, 08:11:00 AM »

Yes they can influence the world economy, that's why they are economical great powers, however if one of the real superpowers would just disappear, it would not influence the economy, but literally destroy it. And that is an economical superpower.

So if S.Korea suddenly disappears, there will be big fluxuations in world economy. If however USA suddenly disappears and with them the dollar, then the current economy will collapse completely. *Poof* fucking gone.

A superpower is a state with a leading position in the international system and the ability to influence events and its own interests and project power on a worldwide scale to protect those interests; it is traditionally considered to be one step higher than a great power.

Oh well, you making up your own definitions for terms that the definition is already agreed on is nothing new.

Proin Drakenzol · « **Reply #16 on:** July 13, 2009, 08:15:05 AM »

China is able to grow so rapidly because they are playing catch-up. Their former economic models and actions were so far behind the power curve that any positive change is going to spark HUGE short term growth.

The big question is if they can shift to a more capitalist and free-market oriented economy. If they can't then they'll forever be a secondary or tertiary economic power.

Sosseres · « **Reply #17 on:** July 13, 2009, 08:31:56 AM »

I sadly think they will move up to a first class economy. The west is doing the same thing they did to Japan, only faster and more focused due to lessons learned of the process. The examples I have is from heavy trucks where Volvo (the largest) and several other of the largest companies own ~49% of Chinese truck manufacturers. They are currently in late 80's in design and quality, going for 1/10-1/5 of the price. That sells well on the eastern Asian market and gives the funds to continue to grow. I fail to see the difference between this and earlier Japan, except the population.

I sadly lack the sources for this since it was a company course that included physical examples of the various truck kinds. Where western ones were still much better, but with the giving away of second rate technology they will be up to some of the harder environment goals in a few years and selling trucks that will work well on any non-European/Japanese (S. Korea?) market (due to the extreme environment and up time demands here).

AceHigh · « **Reply #18 on:** July 13, 2009, 08:33:56 AM »

If China becomes a first class economy, then they may lose the biggest advantage: cheap labour.

Sosseres · « **Reply #19 on:** July 13, 2009, 08:36:04 AM »

Well it is true that is their current biggest advantage, but cheap labour learns how to produce and implement changes. Sadly the Earth can't support another huge consumer market resource wise, at least that is the feeling I've gotten in recent years.