Why is China's economy growing so fast and ours struggling?

Question

Do you really think china is going to be the next USA, as far is economic power goes. They've showed rappid growth over the pas few decades. They're going to reduce their reserve of our precious Dollar due to less demand. If u have a yes or no answer dont even bother anwering it. I dont want you to tell me "yes" cus u've heard someone else say it.

Maybe the Open Door Policy was a mistake...

Answer 1

The largest factors are related to the labor markets in China. There is a huge surplus of cheap unskilled labor. The major driving factor of the Chinese economy is that they kick *** in exports. Most estimates are that cheap goods from china underwrite inflation by about 1% in western Countries. The workers are payed a lot less than American workers, and these days are producing goods to a standard not that far behind America. The consumption of cheap Chinese exports by America especially helps to drive the Chinese economy forward while increasing America's Current Account Deficit.

The Centralised Communist Govt helps a lot too. When projects need to be completed, they are just done. No costs due to Unions, Protests, or Putting Projects to tender. An example of this is the Three Gorges dam. This would have never been approved in a western country, but you can't do anything in China.

Work Ethic plays a big role. By and Large Chinese people work extremely hard. There is no welfare or social security, so competition for work is quite fierce and the quality of dedication once employed is by and large exemplary.

Answer 2

Because the Chinese will work for beans, or more accurately rice, while most Americans demand the same hourly wage as Chinese will accept for an entire days labor. China's growth cannot continue exponentially forever, either the people will begin demanding better pay, although that could take decades, or they will begin having to import more than they export, which could take longer. It happened in the US and unless they have a contingency plan it'll happen there.

Answer 3

It is not just China but India too.
China and India's economies are on the rise, mainly because of the afforable and favourable conditions. Both countries do not face manpower shortages and so MNCs can set up offices with competitive and quality labour.
However financial experts have warned that China's economy may overheat due to too fast a growth.

Answer 4

no longer like the US which has invested heavily in protection rigidity imperialism (seven-hundred+ bases in one hundred+ international places), China has no longer (even although they could actual achieve this) invaded different international places (the exception being Tibet). yet another economic "shocker" is coming in Jan 2011 because the US treasury notes come due, Asian international places have indicated that they received't make investments in them this January... the US has been busy paying "protection contractors" (those who income off of the maiming and demise of thousands and thousands if harmless human beings) and progression city sprawl that no you may arise with the money for for the terrific 30 or so years...the US $ is on the brink. regrettably, something of the worlds currencies are tied to the US $ so each body is in for a not undemanding experience because the fall down maintains. there is wish in technological information and technologies AND a short-time period one international forex. also a transparent one international authorities coming jointly mutually (with all countries transforming into a member of as "areas") might want to be superb...

Answer 5

Customer Service

Answer 6

A developed country's growth rate is limited by technology development. Countries that are catching up can borrow technology from the developed world so can grow very fast when the conditions are right. If they want to surge ahead they will need to develope new technology, but then the US can borrow it so we will grow faster also.