Chinese Economics Thread
- Thread starter Norfolk
- Start date
Construction will still be one of the major economic driving forces for China in the coming years. In addition to what you have said, China still needs a lot of public facilities like community centers, care homes, libraries, sport complex, recreational parks, etc. So this will be another focus of new constructions.
Then there are a lot of old residential and commerical buildings to upgrade for higher energy efficiency. Most of those built in the 90s and 00s were not designed with accessibilities and car ownerships in mind, too. From what I have heard, ongoing maintenance and upgrade of existing buildings has not got the required attention.
China doesn’t need FDI anymore?! Says who?
The emphasis is on *need*. China still welcomes FDI for the money.
FDI from the west used to bring in new technologies and ideas to China. But as the west tightening up technology exports to China, also because of the output of China's own R&D, FDI from them matters less and less to China in advancing in science and technology.
Would you say that the US, Germany and Japan *need* FDI for their progress in science and technology?
But who would refuse money that creates jobs? So you won't hear it officially from the Chinese governments but indeed that China does not *need* FDI as much as it used to be.
supercat
Major
This is a very common misconception. According to this logic, the 4 Asian Tigers, Japan, Germany, and other high income countries would have stopped being competitive a long time ago. What really matters is productivity, not income. In addition, rising income increases consumption and demand, which is necessary for more economic expansion.
Good, more gold, less US dollar/paper money:
Good, more gold, less US dollar/paper money:
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This “nobody” as you call him writes the best articles on Chinese economic situation that you can find on the internet. Unlike other western writers, his articles are based on hard facts and figures. He is a lone voice of reason against the “China is collapsing” crowd of article writers.
There are some people's opinions on Twitter which are more worthwhile, and I think David P Goldman, while not being someone who I agree with everything on, is not unreasonable in some of his takes of the Chinese economic reorganization.
Glenn Luk on Twitter is someone else whose deep dive threads on the Chinese economy are quite decent (and has also written about the Chinese economic reorganization).
... that said, I also think if we are posting something from Twitter, take efforts to please expand and justify and explain it (especially if one feels it is useful/worth considering) rather than just copying the link with a "look at this"-esque comment.
Don't be afraid to take fifteen minutes to write up a couple of paragraphs rather than just copying a link, and if one doesn't have the time or effort to write up some explanations, then perhaps not posting it is the better choice.
Not sure if I can agree. US and all other top tier economies definitely need FDI as a key source of tech innovation. You want foreign companies to spend and steadily increase their R&D in your country rather than spend it elsewhere.