Group items tagged

This article is about increased foreign direct investment to China despite its weakening economic growth. Not only does China receive inflowing FDI, but it also invests outflowing FDI into other places such as Japan. The investment comes even as China's economy show signs of slowing from the stellar growth rates of years past as the government looks to shift the emphasis to structural reform rather than growth for its own sake. One pillar of the reform drive is to make the economy driven more by the service sector and consumers, ending its traditional reliance on investment and exports for growth. The obvious reason why foreign-based MNCs want to invest into China is because of increasing sales or decreasing their profits. The question is what kind of pull factors China has to attract such high levels of FDI. Stable economic environment, political environment, low labour costs are primal reasons.

This article talks about the increasing need for oil to be imported by China. We learned that imports are leakages from the Circular Flow of Income, and that if leakages outweigh interjections, then income will fail. However, this being China, I believe the income for China will not be greatly affected because China is one of the biggest exporters in the world.

This article talks about the protests of China against the Japanese goods. It states that both countries are economically independet, however China adores Japanese brands. It all started out with Japan having their factories in China, since theres a lower production cost. Now that China protests it will move the firms into other countries, such as Thailand.

Increasing aggregate demand helps China, which is currently operating with a deflationary gap, to use its economic resources to a greater extent. The increase in real output is an increase in real GDP, so economic growth is currently in progress. However, the current situation is a very fragile one, according to the chief economist at ANZ in China: ""The current economic rebound remains fragile, and could falter with tightened monetary policy conditions." So it is now up to Beijing's monetary policy makers to sustain this economic growth...

This article talks about how China released a list of banned items to be exported to North Korea because the Chinese government is worried about how the North Koreans will utilize the items they receive from China. "The list of banned items was released amid a flurry of reports suggesting that North Korea is accelerating its two nuclear weapons programs."

This article mainly focuses on China's economic growth and its fast approach to what could put it's economy in an equilibrium state."The rate, the spot rate and future rate, determined by the market supply and demand, basically are very close to the equilibrium rate," said Zhou Xiaochuan, governor of the People's Bank of China. He also warns that at this time China is trying to maintain low prices and if external governments begin to have inflation problems this could potentially create problems for China's economy. This comment was a directly linked with China's exchange rate against the US dollar, an issue that has yet to be addressed.

the article talks about the warning Chinese bank is giving to the country on inflation. China is on "high alert" because of a reported jump in inflation of a 3.2%. China must really pay attention to inflation this time because as Mr. Zhou said in the past some economists thought that a high inflation was no big deal and they could control it after the economic growth but international experience show that it might not be correct.

The article talks about corruption in China, and how the government spends the money of the people to buy 4 or 5 houses, and some even to pass driving tests. When I read the article, I thought of the circular flow with three sectors open. The firms get the government expenditure that should go for hospitals and schools, and with the corruption a lot of money are given illegally from the government to the firms.

China picks up the decrease in trade and starts their way on a new economic recovery after a shaky inflation in January. Their exports increased drastically compared to the previous couple of months, and their global trade suplus widened.

This article shows how the air in China is getting more polluted every year, and the population has only two choice: stay home or go around with a mask, hoping not to have any breathing problems. This connects with tragedy of the commons, since air is a common and people pollute it by using cars without thinking about the consequences. China is so populated, that the large use of cars is highly polluting the streets. In addition, there are industries that pollute and nothing is being done because air is a common.

Because of the people's declining trust in the safety of China made products there is an increasing demand for products made else where. Everyday people cart bulk packages of coffee, diapers, and ramen, onto Hong Kong's trains to get them into china. Their destination is the shelve's of corner shops, who make a bigger profit selling "imported" goods. This is an example of scarcity of resources.

This article offers a short analysis of the Chinese export promotion: outward-oriented strategy to bolster economic growth with some causes for its slowing down. But export promotion is not sufficient to promote development and to ensure the sustainability of the growth-led process. Although China is a star of export- or outward-oriented strategy, there are some possible disadvantages as well, including dependence on foreign demand or worse income equality or environmental degradation as well as undermined care for social safety net. Export-oriented growth is a perfect example in economics that there are no absolutes and that everything is not white nor black but gray.

China is the biggest steel producer in the world. However the demand for steel decreases and therefore the price decreased by 25%.

The article talks about the effect of economic growth in China (Inflation rises)

This article discusses steady economic growth in Uganda, namely 7% over the past 20 years. This has all been under the rule of Uganda's NRM party. In light of this week's discussion questions, this article does mention a cost resulting from the economic growth. That is that Uganda is now increasing its defense industry, which means increased violence.

I found this article very interesting, as it is the first article I have seen that mentions the correlation between having more people with higher education, and having a higher level of economic growth.

The article talks about how the fast economic growth of countries like China and India, will not be able to compensate for the economic slowdownin richer countries. There will be a negative growth in world economy. To improve world economy, most countries would need the aggreagate demand of countries like China.

China hits 96% of its output target. It blames rains for the slight miss of 4%. Also mines have been flooded which decreased the supply by a bit.

This article for me was the perfect example to show how the human needs have trouble coexisting with the finite amount of resources present. Fred Neumann, co-head of Asian economic research at HSBC Holdings said, "Countries such as China have seen droughts over many years. Now we see other parts of the world facing some water shortages, which is starting to impact the global price of certain goods."In this article it basically states the fact that some areas are running low on water and simply cannot keep up with the growing demand for food. Thus instead of having a balance the price of food increased at an alarming rate.

Because of the decreased amount of work opportunities the unemployment rates go higher. That is bad enough for any country, and even worse for a country like China who are dependent on their production and export. The scarcity of work opportunities get bigger, and creates competition on the market. This will contribute to a poorer population since the competition gets higher and people then work for less money.