Thread: Chickity China the Chinese Capitalist.

On a slow football related news day, China passes a bill protecting private property and strengthening its middle class.
This may not interest you but as an Economics student who loves his money and enjoys the strong U.S. world influence, I can tell you this will have a large effect on the U.S. and the world.


China took another large step of strengthening its progress towards becoming a global economic leader.

Y'all better start learning some Mandarin (Chinese).

http://www.nytimes.com/2007/03/16/wo...hp&oref=slogin

With a billion+ people and an up and coming middle class and the economic boom going on in China there are implications for our global resources and the United States' inflated standard of living relative to most of the world.
No doubt about that.

"Billy" wrote:

On a slow football related news day, China passes a bill protecting private property and strengthening its middle class.
This may not interest you but as an Economics student who loves his money and enjoys the strong U.S. world influence, I can tell you this will have a large effect on the U.S. and the world.


China took another large step of strengthening its progress towards becoming a global economic leader.

Y'all better start learning some Mandarin (Chinese).

http://www.nytimes.com/2007/03/16/wo...hp&oref=slogin

Mandarin oranges are delicious,and i can read the can.... sometimes
:'(

I can't use chopsticks and the dog meat in Chinese food gives me gas.

...ya have a drumstick, and your brain stops tickin... wait, that doesn't rhyme anymore


In any case, does China still consider itself communist? From what I've read in the past (but I haven't read anything on them real recently), they're trying to run themselves as socially communist, but economically capitalist. Eventually, those two diametrically opposed models are going to come to a head, and it's going to be a world of hurt for the people currently in power there.

"josdin00" wrote:

...ya have a drumstick, and your brain stops tickin... wait, that doesn't rhyme anymore


In any case, does China still consider itself communist? From what I've read in the past (but I haven't read anything on them real recently), they're trying to run themselves as socially communist, but economically capitalist. Eventually, those two diametrically opposed models are going to come to a head, and it's going to be a world of hurt for the people currently in power there.

China poses the largest threat to our country, especially on the economic front.
With the economy becoming global we're now competing with quickly developing third world countries who have a large, CHEAP labor force.
We can't compete with that.
Politically, the PRC is still communist but as the old guard at the top dies off, they will continue to move towards captitalism.
I'm not an economics expert (and some will take the position there are none) but the future looks grim.
We're still ahead in the R&D/technological development area but many countries are ripping us off blind there too.
:-

"josdin00" wrote:

...ya have a drumstick, and your brain stops tickin... wait, that doesn't rhyme anymore


In any case, does China still consider itself communist? From what I've read in the past (but I haven't read anything on them real recently), they're trying to run themselves as socially communist, but economically capitalist. Eventually, those two diametrically opposed models are going to come to a head, and it's going to be a world of hurt for the people currently in power there.

It's in their consititution that they are communist.
So until they change that officially....
but yes they are like a cat/dog thing right now.
Only two butts instead of two heads.
There are all sorts of power struggles inside China.
Until there is one clear winner it is easiest to consider them Nationalist.

The cheap outsourced labor experiment hasn't concluded yet, so it is hard to say what the end impact is going to be on the global economy.
Ten years ago, India was where China is now.
However, instead of launching India as a global competitor, it just increased their already disparate caste system - the rich became richer and the poor became poorer.
The standard of living increased country wide, but to call them a global leader in anything is a stretch.

China is now poised to enter the labor fray in the same way.
Promising cheap labor will only work as long as the labor you can provide is still cheap.
Once the COL goes up and the wages rise, the labor is no longer cheap and you lose the business.
If you keep the COL and wages down, the country isn't going to be able to gain in the global economy.

This has happened many times in the past... Korea, Mexico, India, Japan.
The only country that did it successfully was Japan.
And they did by introducing quality products for cheap, and by being pioneers in the electronic industry.

I am not too worried about China yet.
I think they will be more successful than India simply because they don't have the extreme corruption in government that India does, but they won't ever become a global leader.

My biggest concern regarding the USA is that most of the grad. students I see getting PhDs are from other countries, not the USA.
I haven't looked up the national trend, but from communicating with my colleagues from across the country and from my own exeriences the majority of the PhD candidates are from overseas.
Learning the technologies and taking them elsewhere.
Of course, some end up staying here and are successful too.
Just a concern of mine.

"PacNWVike" wrote:

I'm not an economics expert (and some will take the position there are none) but the future looks grim.

Priceless.
It is impossible to be an expert at economics but some people are luckier at it then others.
There is a joke among Finance Professors that goes... "Why was Economics created?"

"To make Astrology look like a science."