Comments on: China May Not Be An Economic Beast

By: kmm

kmm — Sat, 17 Nov 2007 08:27:40 +0000

“The problem is that, aside from a not-small number of very bright, very opportunistic capitalists, much of the growth has been export and cheap-labor driven. This is where you are already starting to see cracks…”

Excellent points. Eventually the backbone of this economic boom will change. And beyond cheap labor, is China competitive in any other way in the international market? If companies do start searching elsewhere for cheap labor there will need to be a major restructuring of the Chinese economy. Either that, or the significant contradictions and problems in Chinese society, which have been largely covered up by the economic boom, will come boiling up to the surface.

By: Josh

Josh — Sat, 17 Nov 2007 01:50:47 +0000

It’s not that our world view is so narrow that we don’t look anywhere else, but this blog does focus mostly on China and the US. They are now the first and third biggest economies in the world, and I’m an American living in China. So, you’re right that I should be considering everywhere, but I have the biggest interest in these two countries.

There are a couple flags at the top of the page that indicated my bias. I’m not trying to hide it…

By: Larry

Larry — Fri, 16 Nov 2007 00:14:21 +0000

The low RMB does not cost US jobs, but a higher RMB will allow China to import more, including high quality and high tech goods, like precision instruments, etc., and hopefully, what’s left from money they spend on German goods, they will buy some American stuff.

Trade is a two way thing. It’s not just exports. It is also imports.

I do agree that this won’t solve problems in US, but may be some African and Asian countries will benefit.

Are our world view so narrow now: China and US, and no one else ?