Category: China Economy
The analysis published under this category are as follows.
Friday, March 14, 2014
The Bursting of China’s Credit Bubble / Economics / China Economy
By: Alasdair_Macleod
According to Garet Garrett in his book “A Bubble that Broke the World” Cheops employed 100,000 men for twenty years to build his great pyramid, “and all he had for 600,000,000 days of human labour was a frozen asset.” Cheops’s distortion of the Nilotic economy was nothing compared with the economy warped by the Chinese government today, which has overseen the construction of empty cities, unused airports, carless highways and bridges to nowhere.
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Tuesday, February 18, 2014
Manufacturing Numbers Show Cause for Concern in China / Economics / China Economy
By: Submissions
Richard Cox writes: As the global recovery continues to progress, investors as keenly focused on developments in early Asia as a means for gauging whether or not the progress in economic growth is being seen in all areas. Without clear evidence that emerging markets in Asia have participated in the improvements, there is less reason to believe that the global recovery is moving forward as strongly as had been thought previously.
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Tuesday, February 18, 2014
China Fooled the World (But It Cannot Last) / Economics / China Economy
By: Mike_Shedlock
Steen Jakobsen, chief economist at Saxo Bank emailed a pair of interesting links on the explosion of investment and debt in China.
First consider the BBC report How China Fooled the World by Robert Peston.
Read full article... Read full article...Robert Peston travels to China to investigate how this mighty economic giant could actually be in serious trouble. China is now the second largest economy in the world and for the last 30 years China's economy has been growing at an astonishing rate. While Britain has been in the grip of the worst recession in a generation, China's economic miracle has wowed the world.
Friday, December 06, 2013
My Big Fat Chinese Plenum, Taking China's Economy to the Next Level / Economics / China Economy
By: HRA_Advisory
No, it's not a glandular condition. China's leaders concluded the third Plenum of the 18th Party Congress a couple of weeks ago. Party Congresses last for five years and Plenums (full meetings) are annual except for the first year of each Congress where there might be two or three full meetings.
Wednesday, November 27, 2013
Understanding the Rise of China / Politics / China Economy
By: Frank_Holmes
If the sweeping economic reforms planned by Chinese leaders during the Third Plenum can be our guide, it looks to be a promising decade for global investors. Details released recently confirmed President Xi Jinping’s concerted efforts to move China toward a market-based economy that mirrors the West.The plan’s comprehensive nature and the level of clarity evidently pleased investors, as many Chinese stocks experienced a pop.
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Tuesday, November 05, 2013
China World Bank Rankings That Rankle / Economics / China Economy
By: Steve_H_Hanke
The World Bank has been producing its annual “Doing Business” report since 2004 and its 2014 edition ranking Hong Kong second out of 189 economies surveyed, in contrast to mainland China’s score of 96, hardly seems controversial.
Its rankings of 10 factors reflecting the ease with which entrepreneurs and businesses may conduct economic activity in a given economy offer an unbiased way of looking at business.
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Thursday, October 24, 2013
What’s Really Behind China’s Economic Growth and Why It Won’t Last / Economics / China Economy
By: InvestmentContrarian
Sasha Cekerevac writes: When I read some of the headlines by other news organizations, sometimes I can’t help but chuckle at their oversimplification. Other media outlets take a kernel of truth, and ignore the rest of the picture, only to blow that tiny piece of truth out of proportion.
As an example, there was a recent release by the National Bureau of Statistics of China that reported the Chinese economy grew 7.8% year-over-year for the three months of July to September. (Source: National Bureau of Statistics of China, October 18, 2013.)
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Friday, August 16, 2013
How the Chinese Economy Debt Bubble Will Impact Your Investments (and it Will) / Stock-Markets / China Economy
By: InvestmentContrarian
Sasha Cekerevac writes: I've always been a fan of long-term investing, as it allows big picture thinking to be more important than short-term gyrations. One of my concerns when it comes to developing a long-term investing portfolio is the Chinese economy.
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Monday, August 05, 2013
Shadow Banking - Is our Monetary Policy Dictated by the Peoples Bank of China? / Economics / China Economy
By: Sam_Chee_Kong
The current credit crunch in China is due to PBOC’s (People's Bank Of China) or China's Central Bank refusal to act as the lender of last resort to help banks to get out of their own financial mess. It also demonstrates that Central bank is willing to allow market forces to play a bigger role. This is to mean that banks will have to be on their own since PBOC has indicated that it will not be bailing them out this round. As a result banks have no choice but to be more conservative in their lending policies. What PBOC hope to achieve out of this?
Tuesday, July 30, 2013
Why What Happens to the Chinese Economy Is Critical to America / Economics / China Economy
By: InvestmentContrarian
George Leong writes: The Chinese experiment is over—at least that’s what some in the financial media are saying. Well, guess what? It’s not over, but there will be hurdles along the road for China, as the country struggles to drive its domestic consumption and make sure the economy doesn’t tank.
The reality is that what happens in China is critical to America and the global economy. In fact, I will go as far as to say China is an increasingly important barometer for global business.
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Friday, July 26, 2013
Forecasting China - Rebalancing - Change And Discontinuity / Economics / China Economy
By: Andrew_McKillop
Forecasting China trends is now a hard ride. The days of rock solid 10%-a-year growth are going, going, gone. Like the celestial Dragon which Chinese astrologers place at the center of their Magic Square – able to appear or disappear without warning to the 11 other real Animals such as the Monkey, Snake, Cat or Horse. China has woken up to what is a new problem for Chinese, but not for others. Its slowdown of economic growth, but possible slump into very low growth was a process that took about 40 years for the USA and 20 years for Japan - but may may only take 10 years for China.
Tuesday, July 23, 2013
Recognizing the End of the Chinese Economic Miracle / Economics / China Economy
By: STRATFOR
Recognizing the End of the Chinese Economic Miracle
Major shifts underway in the Chinese economy that Stratfor has forecast and discussed for years have now drawn the attention of the mainstream media. Many have asked when China would find itself in an economic crisis, to which we have answered that China has been there for awhile -- something not widely recognized outside China, and particularly not in the United States. A crisis can exist before it is recognized. The admission that a crisis exists is a critical moment, because this is when most others start to change their behavior in reaction to the crisis. The question we had been asking was when the Chinese economic crisis would finally become an accepted fact, thus changing the global dynamic.
Friday, July 12, 2013
China GDP Growth Rate Falls to 6.7% / Economics / China Economy
By: EconMatters
China releases 2nd quarter GDP data Sunday night in US time zones and it is going to be ugly based upon all the second quarter econ data we have received throughout these three months. The trend is going south fast, and as bad as the second quarter GDP figures are the third quarter GDP will be even worse because of the effects of tightening measures to try to get a handle on the shadow banking sector.
Sunday, June 30, 2013
China's Economic Rebalancing Killed The Asian Locomotive / Economics / China Economy
By: Andrew_McKillop
PEKIN SCHEMES, PEKIN DREAMS
As we know, if we believe what we read in the media, Edward Snowden might be trying to return home and face show trial, but “under his own conditions”. In any case Vladimir Putin will be glad to get rid of him the same way China's leadership very quickly passed the buck, or rather the Snowden hot potato to Putin. More important for the world economy, China is no longer playing Asian Locomotive and has radical new plans – due to the pressures causing the new plans – for steering its economy.
Wednesday, June 19, 2013
China's Innovation Hurdle Points to Withering Economy / Economics / China Economy
By: John_Mauldin
All weekend long and this morning as I wake up in Monaco, the number of disparate publications screaming at me about problems in China is just overwhelming. Then I get myself up early to hear a speech by the esteemed British economist Charles Dumas of Lombard Street fame, and I am confronted with even more China. I have been watching China for a long time, expecting a crisis, as I readily admit I simply do not understand a country that has defied so many of the economic laws of gravity for so long. Some kind of return to normal economic paradigms seems almost mandated, but the question has always been when. Have the Chinese discovered some new control mechanism, found some different levers to pull that they should share with the rest of the world, or will we see them revert to something that looks more like whatever it is that passes for "normal" these days? My bet has always been the latter.
Thursday, May 16, 2013
Why Jim Chanos is Wrong About China's "Ghost Cities" / Economics / China Economy
By: Money_Morning
Greg Madison writes: China's "ghost cities" present the West with the shocking images of vast urban areas that sit nearly empty.
In a striking report, shown recently on CBS News' "60 Minutes,"there are rows of high-rise apartment buildings, tracts full of suburban American-sized detached homes and imposing government edifices in China's western desert that are empty and utterly devoid of any signs of life.
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Wednesday, May 08, 2013
Is This the End of Cheap Chinese Labor? / Economics / China Economy
By: Money_Morning
Greg Madison writes: It's been the lament of everyone for years now: Cheap Chinese labor is killing the job market.
With lower wages and lax regulation, the giant sucking sound we heard was manufacturing jobs headed from Sheboygan to Shenzhen.
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Monday, April 22, 2013
Is China's Economic Miracle About to Burst Like a Bubble? / Economics / China Economy
By: Pravda
The bright Future of China is being predictably pushed back indefinitely. The GDP growth has slowed down. In the first quarter of 2013, the growth made up 7.7 percent, while China closed last year with the index 7.9 percent. Despite the fact that this growth may seem low for China, the consequences of the reduction already affect the world.
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Wednesday, March 20, 2013
Why China Is Tunneling a Mind-Boggling 800 Miles in 2 Years / Economics / China Economy
By: Frank_Holmes
Would it surprise you to discover that China is planning to add 800 miles to its subway system over the next two years? That's the distance equivalent to building a network from Dallas to Chicago in less time than the U.S. Congress can resolve a budget!
In 2015, when the infrastructure build-out is complete, China's subway track alone will be a mind-boggling 1,900 miles, according to JP Morgan.
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Friday, March 08, 2013
China: This Is Your Time! / Economics / China Economy
By: Profit_Confidential
George Leong writes: The time has arrived for China. For the country, this will be a critical moment in its continued development as a global power, with a change at the helm under its new President Xi Jinping and Premier Li Keqiang. China is currently facing a potential property bubble, and it’s dealing with stalled growth from the eurozone as well as other key trading partners. (Read “Why Eurozone’s Problems Are Headed for America.”)
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