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Look at China's GDP over the last 2 decades. It has grown exponentially. At this rate they'll surpass the US this decade or next. You cant just move manufacturi
by marktolson 6y ago
Look at China's GDP over the last 2 decades. It has grown exponentially. At this rate they'll surpass the US this decade or next. You cant just move manufacturing elsewhere. China have perfected low cost mass manufacturing. It's not just beacuse labour is cheaper. That used to be the case but now they are innovating at a huge scale.
- clairity 6y agoeconomics lectures i attended a decade ago indicated that china has already surpassed the US in gdp, but to give us face and to not decelerate their growth, china manipulates their numbers and monetary policy to keep up appearances that the US is still larger. china has 4x our population and growing like a weed. it’s naive to think they haven’t/won’t/can’t eclipse the US economy. it’s another reason we should overhaul immigration policy to attract the world’s best minds while we still have the prestige to do so.
- lonelappde 6y agoIn publicly announced numbers, China has larger GDP by purchasing power parity. (I'm not sure if that's equivalent to your currency manipulation interpretation.)
- clairity 6y agoyes, ppp gdp was largely on par a decade ago too. apparently that's not as worrying to american politicians and policymakers as nominal gdp, as it's nominal gdp being manipulated for appearances (besides monetary policy, the government apparently has enough tentacles into industry and regional accounting to do so).
- icelancer 6y ago>> You cant just move manufacturing elsewhere That's exactly what China and the United States are trying to do: To Africa.