Chinese Economics Thread
- Thread starter Norfolk
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How do they boost internal consumption without the e-commerce and related fintech services?
They are not killing those fields, they just want the best and brightest working on something more meaningful. I believe China imports hundreds of billion if not nearly a trillion in energy, semi-conductor, food , etc . Moving scientist/engineers/etc into other critical areas to stop the hemorrhaging of yuan will allow for "internal consumption" and provide national security. For example, luring students to study material science and creating a viable industry where there is job security (engine, semi conductor) is more beneficial than the student studing programming to build another e-commerce sit.
AssassinsMace
Lieutenant General
The US brags about how their services are great for their economy but COVID-19 showed how it was a weakness hence why they imported products from China even more. I wouldn't listen to the West when it comes up to what they say they're giving China good advice. It's like Obama giving China the secrets to innovation. He was just trying to get China to serve the West. Innovation was just bait.
@daifo brilliant analysis bro another example is Wall Street, smart people go there to create algorithm that crash the economy, the good part they were rewarded with huge bonus and a pat on the back for destroying the economy only in AMerica....LOL.
that does not mean the authority will kill off ecomm and banking service sector, just that previous support(tax rebate, subsidy) will be cut down.
Alibaba , Anrmt Group et al, are big enough that they dont need any more subsidies.
Instead the companies themselves have to do the "subsidies" to the customers by using Xi's "common prosperity" thing.
Gov reduces expenses and big companies do the subsidies themselves so that the market gets developed. By the Gov' point of view is win-win.
For the companies is lose-lose but they shouldnt complain, who told these companies to do garbage R&D and trying to squeeze the customers and small businesses? Time to pay up
There are different types of software, not just e-commerce related, to be written by programmers. For example, you need software engineers for writing local OS, for smartphones, and computers, and local software for designing chips and related chip making machines.