We understand what has fuelled China’s exponential growth. Their trajectory is somewhat different from those of Japan and Korea while there are some similarities.
We know that China is the largest creditor nation and what they are doing with that money (e.g., buying up commodities and metals mines and dumping U.S. treasuries to buy $541 billion in Japanese bonds this year. China has also bought Korean bonds.). We also know how MNCs in China have been making profits.
China is making an impressive progress in building its manufacturing base (they are making high-end products as well), but they seem to be wasting their wealth producing mechanism by blowing property bubbles.
Why can’t China take a right lesson from the U.S., Japan and Korea?
Chinese version of capitalism seems to be working for the time being.
And yet, perhaps most importantly, China is a communist regime. We know the fate of communist states in world history.
China is the largest trading partner of Korea.
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment