China's Modern Economy 中国现代经济 meets TuTh 11:45-1:15 Huntley 230
Have you heard of EB-5 visa? This is a United States visa for immigrant investors. This was created by the Immigration Act of 1990 to stimulate the U.S. economy through job creation and capital investment by foreigners. To apply/obtain the visa, foreign investors must invest at least $ 1 million or $500,000 in a “Targeted… Continue reading Rich Chinese overwhelm U.S. visa program
China and Germany affirmed their shared commitment to building an open economy and promoting global trade during Chinese President Xi Jinping’s state visit to Berlin today. German Chancellor Angela Merkel and President Xi Jinping presided over a series of business deals between their countries. Two countries issued a joint statement, which proclaimed the establishment of… Continue reading China, Germany vow to push for open world economy
Since we talked about low fertility rate and labor shortage that China is likely to experience, I wanted to follow up with more details regarding China’s future of labor market. Recent studies show that surplus labor from rural sector is no longer available that there is now a labor shortage. China is about to enter… Continue reading More on Labor Shortage in China
Earlier last week, Shanghai Chaori Solar Energy, a small Chinese solar firm, defaulted on its debt. The firm could not make a payment to investors on a $ 164 million bond. It was supposed to make $15 million interest payout buy had only managed to raise $650,000. Although the company had not issued a formal… Continue reading China has first corporate default
As the world’s second-largest economy, China now has both direct and indirect effects on the global economy. That’s why the question of what economic growth target China would set for 2014 has been a big issue. On Wednesday, March 5, Premier Li Keqiang said China will aim for 7.5 % GDP growth in 2014. During… Continue reading China sets 7.5% GDP target
As most of us are aware, China surpassed Japan to become the world’s second biggest economy back in 2010. Interestingly, however, China did not exceed Japan in consumption. This trend is beginning to change. On Feb. 17th, 2014, Japan reported that its private consumption amounted to 3 trillion dollars (or 61.2% of GDP). Its government… Continue reading China as the world’s second biggest consumer?
In my previous post, I talked about China’s slowing down economy. As President Xi pushes reform and a slows growth, analysts say that 2014 will be a turning point. With the action plan for air pollution prevention and control in September 2013, China has started to ease surpluses in production capacity and achieved tangible results.… Continue reading 2014 key to China’s economic reform
The recent patch of growth is one of the slowest that China has experienced since the late 1990s. Although its GDP grew roughly 7.7% in 2013 is really high from a US perspective, China feels like it has slowed down. However, TIME argues that we should welcome this. TIME describes China as: “the economy was… Continue reading Should China slow down?
According to CNN Money and research firm Hurun, about 2/3 of wealthy Chinese (with more than 1.6 million dollars in the bank) have emigrated, or are planning to. As you can see in the map, some hotspots where they move into are: Europe, the U.S., Canada, and Hong Kong. However, an interesting fact is that this… Continue reading China on the Move
The automotive industry accounts for about 4~5 % of the U.S. GDP. While it is trying to rebound after the collapse during the recent financial crisis, China is now quickly expanding its presence in Detroit. According to CSmonitor, Chinese auto companies and suppliers are opening plants and offices in Detroit due to low price of… Continue reading China in Detroit
I wanted to follow up on my previous post. In this post, I will discuss China’s 12th “5-year-plan,” a major political indicator and policy-setter. In 2011, China began to implement new economic and industrial policies outlined in its twelth Five Year Plan (2011-2015), which will remain in place until a 13th one is officially adopted… Continue reading China’s 12th 5-Year-Plan
The pollution in China has reached a critical level. One-third of the urban population breathes the contaminated air and, as a result, lung cancer is the number one cause of mortality in China. It has also been reported that acid rain falls on one-third of the country. The United Nations Environment Programme (UNEP) reported that… Continue reading Coal Consumption in China
A few months ago, the Chinese government announced that it would ease its policy of allowing families to have only one child. The main reason for this policy change is population aging. According to the United Nations, about 8.5% of the current population is over 65, which will rise to 23.9% by 2050. Concerned with its… Continue reading China’s One-Child Policy Changes
Many companies like to expand their business to China due to cheap labor. According to CNN, the highest minimum wage in China, in Shenzhen province, workers get $240.49 a month. The minimum wage in Beijing is $2.24 dollars per hour, which is much lower than that of the US’. Although China’s government announced that it… Continue reading The End of Cheap Labor in China?
Americans, the rich and the poor, often talk about how China’s growing economy will soon surpass that of America and how US will lose the economic competition. As this article by Christopher Matthews points out, President Obama often uses the language of competition (using examples of South Korea and China) to talk about how America… Continue reading Is Economics about Competition? — China’s Growth Is Good!