IMF :China to surpass US econ...

IMF :China to surpass US economy in 5 years

Posted in the China Forum

Since: Oct 08

Beijing, China

#1 Sep 19, 2011
The IMF has announced that China will surpass the US economically in real terms in 2016 – a mere five years from now.
The report brings new light to US economic debates surrounding American debts, budget debates government spending, investment and the crisis of the US dollar.
Whoever is elected president in 2012 will be the last president to preside over a US economy on top. With only five years to change the outlook, that person has a daunting task ahead.
The report uses purchasing power and other factors to gauge economic growth. It measured what people earn and spend in real terms as opposed to measuring exchange and currency rates.
This has shocked many who did not realize China was so close to surpassing the US.
Economist Max Fraad Wolff from The New School in New York explained that China has a great deal of resources and many more people than the US. Thus, they have the potential to produce more and at a greater rate. In addition, China has a much lower cost of living making quick growth more possible. However, US policies have also assisted in the US decline relative to China.
“Our own policies are behind the rise of China in many ways and the decline of the United States,” he added.“If you do keep importing more than you export, you keep running giant trade deficits, and you consume more than you produce and you outsource and ship those jobs, and import lots of goods from another place, and that place is China, they you are actually sending out your growth and they are receiving it.”
China is thoroughly capitalistic, Wolff explained, Chinese growth is driven by their capitalistic policies and competition.
“The Chinese continue to make basic policy decisions in order to maximize their growth and have a dominate position in the world economy, five, ten and 20 years from now,” he said.“Having much better policy eventually catches up to the people with the worse policy and benefits the people with the better policy.”
Often many assume America will remain strong because it is America, but this is not the case. American decision makers often make decisions based on politics – not on long term policy.
Wolff explained the US is going to remain important in global economics but old habits and assumptions have developed overtime and continue to hurt the US economy.
“Get off a particular path and figure when it’s not working for you anymore. We haven’t been particularly good on that front,” Wolff remarked.
Former Reagan administration official Paul Craig Roberts said American capitalists destroyed the US economy by moving capitalism to China. By outsourcing production and jobs to China the American economy suffered.
“It was only after the demise of the Soviet Union that China had a change of mind and opened its economy,” he said.“All of a sudden the first-world capitalists had large amounts of inexpensive labor and they turned to this labor, deserted their own workforce in order to lower costs and maximize profits.”
Roberts explained that US policies have allowed the US to decline and China to rise. The system of economic policies in place favors the few and the rich and promotes making money abroad as opposed to producing in the US.
RayH

Shanghai, China

#2 Sep 19, 2011
haidian wrote:
The IMF has announced that China will surpass the US economically in real terms in 2016 – a mere five years from now.
The report brings new light to US economic debates surrounding American debts, budget debates government spending, investment and the crisis of the US dollar.
Whoever is elected president in 2012 will be the last president to preside over a US economy on top. With only five years to change the outlook, that person has a daunting task ahead.
The report uses purchasing power and other factors to gauge economic growth. It measured what people earn and spend in real terms as opposed to measuring exchange and currency rates.
This has shocked many who did not realize China was so close to surpassing the US.
Economist Max Fraad Wolff from The New School in New York explained that China has a great deal of resources and many more people than the US. Thus, they have the potential to produce more and at a greater rate. In addition, China has a much lower cost of living making quick growth more possible. However, US policies have also assisted in the US decline relative to China.
“Our own policies are behind the rise of China in many ways and the decline of the United States,” he added.“If you do keep importing more than you export, you keep running giant trade deficits, and you consume more than you produce and you outsource and ship those jobs, and import lots of goods from another place, and that place is China, they you are actually sending out your growth and they are receiving it.”
China is thoroughly capitalistic, Wolff explained, Chinese growth is driven by their capitalistic policies and competition.
“The Chinese continue to make basic policy decisions in order to maximize their growth and have a dominate position in the world economy, five, ten and 20 years from now,” he said.“Having much better policy eventually catches up to the people with the worse policy and benefits the people with the better policy.”
Often many assume America will remain strong because it is America, but this is not the case. American decision makers often make decisions based on politics – not on long term policy.
Wolff explained the US is going to remain important in global economics but old habits and assumptions have developed overtime and continue to hurt the US economy.
“Get off a particular path and figure when it’s not working for you anymore. We haven’t been particularly good on that front,” Wolff remarked.
Former Reagan administration official Paul Craig Roberts said American capitalists destroyed the US economy by moving capitalism to China. By outsourcing production and jobs to China the American economy suffered.
“It was only after the demise of the Soviet Union that China had a change of mind and opened its economy,” he said.“All of a sudden the first-world capitalists had large amounts of inexpensive labor and they turned to this labor, deserted their own workforce in order to lower costs and maximize profits.”
Roberts explained that US policies have allowed the US to decline and China to rise. The system of economic policies in place favors the few and the rich and promotes making money abroad as opposed to producing in the US.
Looks like you've been keeping up with your news. Congrats.

Since: Oct 08

Beijing, China

#3 Sep 19, 2011
i say it would not be likely
HKCOWBOY

Irving, TX

#4 Sep 19, 2011
Keep dreaming!

Your party Mama plays the numbers game better than a con man. Back in 1950's, Mao already declared "mu chan wan jin (crop yield per one-sixth acre to be more than 10,000 pounds)"; then the famine killed millions of Chinese farmers...

Since: Oct 08

Beijing, China

#5 Sep 19, 2011
HKCOWBOY wrote:
Keep dreaming!
say that to the IMF,i m just relaying information.

Since: Oct 08

Beijing, China

#6 Sep 19, 2011
it is the IMF report,no one says that in china.inside china people are busy working to get rich,no one talks about this stuff.all the reports and articles i quotes are international ones.

Since: Mar 08

Long Island City, NY

#7 Sep 19, 2011
HKCOWBOY wrote:
Keep dreaming!
Your party Mama plays the numbers game better than a con man. Back in 1950's, Mao already declared "mu chan wan jin (crop yield per one-sixth acre to be more than 10,000 pounds)"; then the famine killed millions of Chinese farmers...
Bitter and sour, how it sounds so sweet to the ear.
HKCOWBOY

Irving, TX

#8 Sep 19, 2011
Zsari wrote:
<quoted text>
Bitter and sour, how it sounds so sweet to the ear.
TYPO -- sweet & sour, yumm...mmmmm

Since: Oct 08

Beijing, China

#9 Sep 20, 2011
different world organizations use different methods to calculate,i would say it would take 15-20 years.

Since: Jun 12

Location hidden

#10 Jan 23, 2013
haidian wrote:
<quoted text>
say that to the IMF,i m just relaying information.
Oh the same IMF who gave many European countries the advice that going on austrity would save their skins even though austrity has never done anything but deep economic woes? That IMF?

Yeah but even if they are right and I am very doubtful of this as the Chinese economy is in the process of reformation and even that is going at the pace it needs to, China would be the poorest global economic power to ever take the throne. China's GDP would need to raise by almost 3times its size to be on the same level of living standards with even Greece's in GDP per capita terms.
asia latin afro mid east

United States

#11 Jan 23, 2013
dreadman82 wrote:
<quoted text>
Oh the same IMF who gave many European countries the advice that going on austrity would save their skins even though austrity has never done anything but deep economic woes? That IMF?
Yeah but even if they are right and I am very doubtful of this as the Chinese economy is in the process of reformation and even that is going at the pace it needs to, China would be the poorest global economic power to ever take the throne. China's GDP would need to raise by almost 3times its size to be on the same level of living standards with even Greece's in GDP per capita terms.
Countries of the developing world and others are beginning to wise up and want nothing to do with warring Western IMF and WTO...

Since: Jun 12

Location hidden

#12 Jan 23, 2013
asia latin afro mid east wrote:
<quoted text>Countries of the developing world and others are beginning to wise up and want nothing to do with warring Western IMF and WTO...
Please tell me you get your news from a kanagaroo or whatever like some posters i have met on these threads because this type of information makes you look dumb.

The Chinese government celebrated their pants off when they were admited into WTO after many MANY years of trying, the Russians are still getting over their own hangover after party they threw for getting admited.......so is it a kangaroo or wombat?
asia latin afro mid east

United States

#13 Jan 23, 2013
dreadman82 wrote:
<quoted text>
Please tell me you get your news from a kanagaroo or whatever like some posters i have met on these threads because this type of information makes you look dumb.
The Chinese government celebrated their pants off when they were admited into WTO after many MANY years of trying, the Russians are still getting over their own hangover after party they threw for getting admited.......so is it a kangaroo or wombat?
Paraniod you are! BAHQHWHWHHWH Not thing to do with commies.

If you read the News The small farmers and other protest and want nothing to do with WTO, know now only if you had left brain implant (BWHAHAHHHAa), you go research and come to me why these small farmer and nations especially the developing nations amnd others worldwide hate western apparatus WTO...

Since: Jun 12

Location hidden

#14 Jan 23, 2013
asia latin afro mid east wrote:
<quoted text>Paraniod you are! BAHQHWHWHHWH Not thing to do with commies.
If you read the News The small farmers and other protest and want nothing to do with WTO, know now only if you had left brain implant (BWHAHAHHHAa), you go research and come to me why these small farmer and nations especially the developing nations amnd others worldwide hate western apparatus WTO...
I did not say anything about commies or are you calling all chinese and Russians commies? Small farmers complain against WTO not because the WTO is evil and drinks babies blood...no, its because WTO is for removal of all economic barriers.

This if you have even taken high school economics allows some countries to specialize in some form commodiaty they have a nature superiority at thus making sure that all goods on the market are produced at the lowest possible cost to resources which would be more efficient and make sure our finate resources are with us a while longer because we as human beings may have infinate needs, our planets resources are finate. It also frees up a section of the labor market to move into a more profitable business.

So small farmers especially would be hit by such a progressive move, but lets not forget that horse traders and breeders probably complained when the automobile was invented and asked government to stop these wheels of the devil. It is like taking an injection, the needle hurts for a second then after wards everything improves.

Look at Mexico, for years people have said that Mexico became the USA's pet monkey....how could they compete with the US and right after enterinng many of these nightmares became a part of life for Mexican business people. Now look at the situations, Mexico hold a surplus over the US and is coined to be the next China in a new BRICS just as soon as growth in the current BRICS slows.

Why, because it was through fire and exposure to tough realities that Mexicans became more efficient, productive and business savy. The Mexicans had leaders who stered the country through its baptism of fire and are now headed for a soft landed when the fire refines their economy into gold. That is why most incapable, clueless and thumbs in their ass leaders greedy to stay in power always complain about WTO entry, it is in the short run very disruptive but in the long run is like putting unrefined gold into fire...it adds value to the economy.
asia latin afro mid east

United States

#15 Jan 24, 2013
nope ! the many world small farmers being out and bankrupted and others protester complained because WTo (Western Apparutus in the making) support by the first world nations predatory business practices with govt assistance to larger agricutural industrail farms Complex from the US/westerner world.
asia latin afro mid east

United States

#16 Jan 24, 2013
Robert Naiman
Toward Freedom magazine, November 1999, p2

"When the IMF and the World Bank force a country to cut wages, lay off workers, produce for export instead of their own people, and sell off public property to cronies for less than its vallue, that's called "economic reform."
asia latin afro mid east

United States

#17 Jan 24, 2013
Edward S. Herman
The United States has given frequent and enthusiastic support to the overthrow of democracy in favor of "investor friendly" regimes. The World Bank, IMF, and private banks have consistently lavished huge sums on terror regimes, following their displacement of democratic governments, and a number of quantitative studies have shown a systematic positive relationship between U.S. and IMF / World Bank aid to countries and their violations of human rights.

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