China should be announcing economic stimulus soon - but can it work... - Printable Version
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China should be announcing economic stimulus soon - but can it work... - sgbuffett - 24-07-2023
Liking this week after Fed hike rates likely last rate hike.
The Fed will have a period of inaction as it watch the many rate hikes slow the US economy and attempt To softlamd at end of the year by easing ...so nothing will happen from now until year end.
this leaves China'hs PBOC as the only game in town with flexibility to do something and rook to act.
Short term boost is very simple ...just jnject $$ and do infrastructure
But if anything works long term it has to sustain consumer spending, foreign investments comjng in and exports.
2 out of 3 depends on foreigners having confidence in China and foreign markets doing well to buy Chinese Exports.
Technically the Chinese consumer has a long runway because the per capita GDP in China is low and has head room.
When Japan start it's lost decade it was already a high income nation.
China has many structural issues from which it can gain by fixing them....and undoing draconian restrictions on private education and online platforms will help to boost the economy.
RE: China should be announcing economic stimulus soon - but can it work... - WhatDoYouThink! - 24-07-2023
Out of 1.4b ppl, they couldn't even find a few smarter than you? Why you everday so worried about them?
RE: China should be announcing economic stimulus soon - but can it work... - sgxin - 24-07-2023
The Chinese gov is bent on bringing down the inflated property prices in many cities, thus the refusal to bail out the provincial gov that are running budget deficits.
Relying on FDI will not work as low end manufacturing is no longer attractive while highend manufacturing will only benefit a minority few (the high tech workers; The lady vlogger also mentioned this). FDI that acquires (grabs) China land and resources will not be welcome too, otherwise China will end up like Ukraine where (I read) more than 70% of their farmlands belong to western investors.
As China slowly and firmly moves its economy towards high end industries (native capabilities), a good interim stimulus will thus be the redevelopment of villages in its mega cities.
Besides increasing demand for building materials, furniture and household appliances, and providing more jobs to the masses, it also raises the standard of living of the lower strata in these cities. Like this redeveloped Jiangsu village (below) that has "kampong" houses that are both large and modern, even better than the home of many Sporeans.
A better suburb living environment will also help to bring down demand for properties in the city centers.
RE: China should be announcing economic stimulus soon - but can it work... - Tangsen - 24-07-2023
(24-07-2023, 10:38 AM)WhatDoYouThink! Wrote: Out of 1.4b ppl, they couldn't even find a few smarter than you? Why you everday so worried about them?
Because he is a CECA ganges sewage black fungus baboon envious of China progress while his motherland is still stuck in the paedophile gandhi era with no progress.
RE: China should be announcing economic stimulus soon - but can it work... - cityhantam - 24-07-2023
(24-07-2023, 10:38 AM)WhatDoYouThink! Wrote: Out of 1.4b ppl, they couldn't even find a few smarter than you? Why you everday so worried about them?
Just like many AMDK "sexperts" who have no answer to their own country's problems but keep telling China what to do to get things "right"!
RE: China should be announcing economic stimulus soon - but can it work... - Huliwang - 24-07-2023
Of course the stimulus will work otherwise China would not have lasted 5,000 years. Even if it does not work, the Chinese can eat bitter and will come back stronger.
RE: China should be announcing economic stimulus soon - but can it work... - Niubee - 24-07-2023
(24-07-2023, 10:36 AM)sgbuffett Wrote: Liking this week after Fed hike rates likely last rate hike.
The Fed will have a period of inaction as it watch the many rate hikes slow the US economy and attempt To softlamd at end of the year by easing ...so nothing will happen from now until year end.
this leaves China'hs PBOC as the only game in town with flexibility to do something and rook to act.
Short term boost is very simple ...just jnject $$ and do infrastructure
But if anything works long term it has to sustain consumer spending, foreign investments comjng in and exports.
2 out of 3 depends on foreigners having confidence in China and foreign markets doing well to buy Chinese Exports.
Technically the Chinese consumer has a long runway because the per capita GDP in China is low and has head room.
When Japan start it's lost decade it was already a high income nation.
China has many structural issues from which it can gain by fixing them....and undoing draconian restrictions on private education and online platforms will help to boost the economy.
F...k back to yr Muar
