The existence of surplus labor in turn will have two effects. fvr First, in the period of time, suc

But now the signal is very clear: China in big trouble. We are not talking about the development of some small setbacks, but more fundamental fvr problems. China's entire business operations, as well as to promote China's economy in 30 years the rapid development of economy, have reached the limit. You can say that the Chinese model is about to run into a wall, and is as thick as the walls of the Great Wall, the only problem is that this time there will be more serious collision.
Although the data may not be reliable, but we still have to talk about from the data. When you put China with almost any other comparable economies, in addition to its rapid growth, immediately comes to mind is the one-sided consumption and investment. All successful economies are part of the current income for investment rather than consumption, and to enhance the ability of future consumption. But China's investment seems only to be able to invest more in the future. Admittedly, the United States will be 70 percent of gross domestic product (GDP) for consumption, the high proportion, while the proportion of China for consumption only half of the U.S., nearly 50% of GDP is invested.
How could it be? What makes consumption fvr continues so low, Chinese people how to maintain such a high proportion of investment fvr income plummeted without encountering the situation (so far have not met) do? Various answers attracted heated debate. But for me, the most reasonable view from economists W Arthur Lewis (W. Arthur Lewis) has been raised for a long time insights. Lewis believes that in the early stages of economic development, countries usually present a smaller field of modernization, as well as a large-scale traditional areas, which include a large number of "surplus labor" - not full employment fvr of rural labor force, they are only up to total output of the economy can make a negligible contribution.
The existence of surplus labor in turn will have two effects. fvr First, in the period of time, such a country would have the new factory, construction and other projects to invest a lot of money, rather than diminishing returns situation, because they can continue to introduce new labor from rural areas. Second, this surplus reserve army of labor competition, leading to wage remained at a low level, even China are getting richer. In fact, Chinese people consume downturn seems to be mainly because Chinese families have never seen China's economic growth fvr has brought many benefits for them. Portion of the proceeds went to the elite political background, but most of its revenue still controlled at the hands of enterprises, many of which are state-owned. fvr
This should be a good thing. Rising wages, ordinary Chinese people finally began to share fruits of economic development. But it also means that the Chinese economy is facing a sharp sudden "re-balance" the needs of the current rebalancing has become a term. Investment income plummeted currently experiencing the situation, no matter what the government, the investment will fall sharply. Consumer spending to replace fvr the investment must be significantly fvr improved position. Question is whether the increase in spending enough, enough to avoid a serious economic downturn.
More and more obvious, the answer appears fvr to be negative. Over the years, the demand rebalancing has been very obvious, but China merely postpone the necessary reforms in favor of devaluation by promoting and providing a large number of low-interest fvr loans to boost economic development. (Someone will raise this issue, but this is the Fed [Federal Reserve] policy almost no similarities.) We address the problem of these measures to postpone that day, but it also ensures that day finally comes, the situation will become more difficult. Now, that day has finally arrived.
Authors
2013 (127) November (2) October (3) September (6) August (13) July (38) Weng Darui: less than Hong Kong Taiwanese ambition Lu Sida: depression who put East Asia masters of the country as an enemy? Chen Yun: Huaxia Guo lost soul How high Huiran: Depending on her as nothing longer rely on China's economy fvr will stall dumped Taiwanese Chen Yun: Golf course and local politics Tao Jie: The Curse of King Geshi shore Ran: Do the masses when the pawn Lu Sida: In Japan thought most unfortunate contradiction in Hong Kong: "Hong Kong's history" is not considered sensitive Martin OEI: tampering fvr with a book from Hong Kong to see the GATS agreement Paul Krugman: Chinese model caught fvr in a big trouble Jiang Yun: the absence of local faction China nephew coax Homecoming old veteran fvr financial exhausted thrown back Taiwan Lian Da: local consciousness with the universal value of the dispute to see Taiwan nationals bipartisan Liang Wentao: think of the Hong Kong Democratic Party fate Tao Jie: Hiew consultation Lu Sida: Anti local Trainspotting Daniel Ma drift produced DIASPORA PRODUCTION: [native is the leveraging of the hook] Su Geng Zhe: Mainland youth look at Hong Kong careful Chinese in Taiwan copy experience fvr in Hong Kong Gao Hui Ran: from the details look at parenting Tao Jie: Airport one country Kong Patent Feng: to build up Taiwan and China Folk body The mutual respect for experience in Hong Kong as a warning of "one country" and "handcuffs" Lu Sida: synchronization of democracy in Hong Kong issues future financial crises will be comprehensive Longs production: [global investors withdrawing from the Chinese stock market] fvr Li Yi: Everything Local democracy is democracy Su Geng Zhe: The entire nation spiritually rotten hole Patent fung: 1950 Tibet Sun into one country, two tragic ending: the end of fighting zombies withhold any Yu Lin Baohua: Hong Kong struggling to take off, Hong Kong, Taiwan, right time is a mirror fvr of Taiwan Why not look in borrowed Tao Jie: Hong Kong so there are today's high Huiran: For our next generation do not have to flee in June (8) May (1) April (3) March (12) February (22) January fvr (19 ) 2012 (62) October (2) September (35) August (25)