Chinese Economics Thread

zgx09t

Junior Member
Registered Member
Apparently some people may benefit from this, so I'll post it:

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Gross domestic product (GDP) is a
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of the market value of all the
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and services produced in a specific time period

Why are you wasting our time here with your clueless Cletus Spuckler persona?
You have no idea whatsover what you are talking about.
Go get a real education instead of a one minute internet search on wiki.
 

Tyler

Captain
Registered Member
The US has a highly developed economy based on services. Medical and education is a significant part of it, but you don't have to be in the US for long to appreciate how diverse the economy really is. There are a million ways to spend money in America and that's all counted in GDP. China for political reasons is unlikely to ever have an economy as diverse as the American economy. Even politics itself in America is a large chunk of GDP when you think of all the spending at local, state and national levels for political campaigning, advertising and lobbying. Think of the sports sector which is practically nonexistent in China compared to the US, where there's everything under the sun and a new sport is created every year. Think about things that are outright illegal in China like pornography and marijuana or crytomining. All of these things go into the GDP number.

China is also culturally not nearly as much oriented towards consumption as the United States. But consumption is what GDP measures. "Dual Circulation" shows that they know they have to boost consumption but it won't be easy. They have to get people to take up hobbies, watch sports, join a gym, go clubbing and all of these other millions of things that people do and spend money on in the West.

The gdp created in politics, is not real gdp. These political activities are just money wasted on useless stuff that do not even benefit the people. The same resources should be better spent on health care and education.
Americans have been over spending on useless stuff. The number of hobbies you have do not create wealth for you. Once you have spent all your money, you just have to stay home, no matter how much you would like to go out the spend money on yet another hobby.
 

antiterror13

Brigadier
Hmm .. is that the new method you just pulled out of your behind?

Actually it is correct that consumption is the big part of it

GDP = private consumption + gross private investment + government investment + government spending + (exports – imports).
GDP = C + I + G + (X – M)

In the US, the most variable is C and G (deficit), while in China I think G and Export

So if A sell a house for $1M to B and then B sell the house to C for $1.1M and then C sell it to A for 1M. The GDP added for the "silly" transaction is $3.1M without any impact to the wealth of the country .... but you know what I meant .. GDP is not big relevancy to the wealth of the country
 

NiuBiDaRen

Brigadier
Registered Member
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Sportswear Giant Anta’s Founding Family Donates $1.2 Billion in Shares

The billionaire family behind one of the world’s largest sportswear brands has pledged to donate 84.5 million shares worth HK$9.26 billion (approximately $1.2 billion) to charity, according to a statement released by Anta. The Ding family, including chairman Ding Shizhong and his brother, deputy chairman Ding Shijia, largely control the Anta Group’s business and their pledge comes amidst a broader call from Chinese president Xi Jinping for “common prosperity” to narrow the country’s wealth gap.

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zgx09t

Junior Member
Registered Member
Actually it is correct that consumption is the big part of it

GDP = private consumption + gross private investment + government investment + government spending + (exports – imports).
GDP = C + I + G + (X – M)

In the US, the most variable is C and G (deficit), while in China I think G and Export

So if A sell a house for $1M to B and then B sell the house to C for $1.1M and then C sell it to A for 1M. The GDP added for the "silly" transaction is $3.1M without any impact to the wealth of the country .... but you know what I meant .. GDP is not big relevancy to the wealth of the country

You are confused with the theoretical part for the actual calculation methods part.
GDP don't measure consumption for a reason, never did, never will.
 
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