I am not convinced. A large part of the Chinese GDP is exports. Who do they expect to export to? Second, it is obvious to me and lot of others, China is in a credit bubble particularly in real estate. How many fully functional, but empty cities have they built?
China reminds me of all the doom and gloom about Japan taking over during the 80's. In the end, the Japanese lost a lot of money buying US commercial real estate.
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The Economist expects the US economy to grow, that is the problem with their graph.
I am not convinced. A large part of the Chinese GDP is exports. Who do they expect to export to? Second, it is obvious to me and lot of others, China is in a credit bubble particularly in real estate. How many fully functional, but empty cities have they built?
China reminds me of all the doom and gloom about Japan taking over during the 80's. In the end, the Japanese lost a lot of money buying US commercial real estate.
http://xkcd.com/605/
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