Chinese economy to grow 9.28% in 2011

[OhioChick]

2011-08-22 09:01

SINGAPORE-- The Chinese economy will grow by 9.28 percent in 2011 if the United States can stay out of a double- dip recession and the eurozone can steer itself clear of a sovereign debt crisis this year, economists from China's Xiamen University and the National University of Singapore said in their latest forecasts released on Saturday.

The China's Macroeconomic Outlook 2011-2012 and Policy Simulations report also projected that the consumer price index (CPI) inflation will hit 5.34 percent for the full year.

It forecast a GDP (gross domestic product) growth of 8.91 percent and a CPI growth of 4.93 percent for 2012.

"We think that China's GDP growth will inevitably slow down at the stage it is at, due to weak recovery in the external markets and the macroeconomic policies gradually coming back to normal in China," the report said.

More: http://usa.chinadaily.com.cn/business/2011-08/22/content_13161397.htm

[bhikkhu]

1. They are artificially raising it by building massive empty cities

One of the crazier approaches I have ever read or seen, but they have huge trade surpluses, loads of cash and cheap labor, and they have been frantically expanding their programs of city-building to keep economic growth going. Think of a new city, big enough for 10 million people, with apartment blocks, retail centers, factories, everything, sitting empty.

Apparently they are planning on building a new about every year, and enough new capacity to house 350 million people by 2025. http://images.businessweek.com/ss/08/11/1112_china_megacities/1.htm

...odds are, with all the empty cities, overpriced real estate, bad jobs, that some sort of collapse will set in - on a scale such as can only happen when you have massive central control driving things along full-speed, guided only by a questionable ideology.

[rebeccahoward]

2. Chinese economy to grow

The Chinese government is not following the traditional/theoratical framework of the financial librilization. But they are continuing to grow at a rapid pace.
http://rennysillory.multiply.com/links/item/1/Press_Release_Distribution