4 ms·

> If the $450 of value was so easy to extract, why wouldn't China simply assemble it in their own country and take the whole pie? If you pay attention, you'll

> If the $450 of value was so easy to extract, why wouldn't China simply assemble it in their own country and take the whole pie? If you pay attention, you'll notice that's what China is doing. For decades, China's GDP growth towered over the US's. Around 2015, China's GDP PPP overtook the US's.

amilios 1y ago
but not GDP per capita in purchasing power, in that the US is still far ahead. China's GDP PPP is greater, but with 4 times the population.
AnIrishDuck 1y ago
Growth is trivial to achieve when you are starting from zero. My footnote very much alludes to this. This is incidentally what the US did to powers like Britain a century and a half ago. I just find it amusing that in this theory of trade China has found a way to do all the work while the US does nothing and takes all the value. Perhaps all that extra money is not as easy to claim as the OP suggests. Maybe economies are changing and purely physical goods are becoming less valuable...
- motorest 1y ago
  > Growth is trivial to achieve when you are starting from zero. China currently reports the second highest GDP in the world.
  - AnIrishDuck 1y ago
    > For decades, China's GDP growth towered over the US's. It's much easier to 100x $1k than to 10x $1m. This is not to take away from the achievements of the Chinese economy, which are gargantuan. You just can't linearly extrapolate growth rates.
    - oblio 1y ago
      > It's much easier to 100x $1k than to 10x $1m. That's kind of goes against the conventional wisdom, which largely feels true in my experience, that "the rich get richer". Countries are a bit different, but China looks poised to avoid the middle income trap up to a point, and even if they don't, their "middle income" is a lot more likely to fall somewhere near the Japanese levels, which would make the Chinese economy massively bigger than the US one, by 2050.
      - teamcampapp 1y ago
        [dead]
    - motorest 1y ago
      > It's much easier to 100x $1k than to 10x $1m. China's GDP is the second largest in the world, and is around two thirds of US's. China's economy is growing continuously over 5% whereas the US already discussed facing a recession. In some metrics, such as PPP GDP, China already towers over the US. I think you're trying ver hard to diminish the second largest economy of the world at a moment where it's expected to be a few years until it's the single largest.
  - OfficeChad 1y ago
    [dead]
jorts 1y ago
China’s GDP growth is great but they will face a huge pain now that they face an unsustainable population decline. They have more people aged over 52 than younger. I empathize with their youth.
- NhanH 1y ago
  You are claiming that the median age in China is 52 or did I read this wrong? That would be beyond fake news level of statement (for my reading of the meaning) The current median age of China is about 40, which is not great for their context, but a world apart from 52.
- ReptileMan 1y ago
  The good thing about being authoritarian is that you can easily solve the births issue. The same way there was one child policy, there could be 3 or 4 with penalties for non compliance.
  - jampekka 1y ago
    Highly unlikely CCP would pursue coercive birth policy, or even could do it if it wanted. CCP is extremely powerful but it still has to rely on the consent of the governed. It has to frequently roll back policies due to public outcry. Current birth rate increase policies in China are based mostly on rewarding for births and subsidizing parenting costs.
- aylmao 1y ago
  China is automating at an impressive rate. Isn’t automation easier to face with population decline than with population increase? I’d imagine young people mind getting replaced by machines more than old people.
  - Ray20 1y ago
    >Isn’t automation easier to face with population decline than with population increase? No? These things do not seem to be connected in any way.
wqaatwt 1y ago
> GDP PPP That’s not a particularly meaningful metric.
- psalaun 1y ago
  No more no less than GDP. They outline different realities, which are all interesting to analyse as a whole.
  - wqaatwt 1y ago
    PPP on its own is a relatively poor metric and only covers a subset of the economy. Then when you have semi closed economy like Russia with unclear currency rates (due to external capital inflow/outflow barriers) and convert the figures to USD you can end up with all sorts of wacky numbers

amilios 1y ago

but not GDP per capita in purchasing power, in that the US is still far ahead. China's GDP PPP is greater, but with 4 times the population.

AnIrishDuck 1y ago

Growth is trivial to achieve when you are starting from zero. My footnote very much alludes to this. This is incidentally what the US did to powers like Britain a century and a half ago. I just find it amusing that in this theory of trade China has found a way to do all the work while the US does nothing and takes all the value. Perhaps all that extra money is not as easy to claim as the OP suggests. Maybe economies are changing and purely physical goods are becoming less valuable...

motorest 1y ago
> Growth is trivial to achieve when you are starting from zero. China currently reports the second highest GDP in the world.
- AnIrishDuck 1y ago
  > For decades, China's GDP growth towered over the US's. It's much easier to 100x $1k than to 10x $1m. This is not to take away from the achievements of the Chinese economy, which are gargantuan. You just can't linearly extrapolate growth rates.
  - oblio 1y ago
    > It's much easier to 100x $1k than to 10x $1m. That's kind of goes against the conventional wisdom, which largely feels true in my experience, that "the rich get richer". Countries are a bit different, but China looks poised to avoid the middle income trap up to a point, and even if they don't, their "middle income" is a lot more likely to fall somewhere near the Japanese levels, which would make the Chinese economy massively bigger than the US one, by 2050.
    - teamcampapp 1y ago
      [dead]
  - motorest 1y ago
    > It's much easier to 100x $1k than to 10x $1m. China's GDP is the second largest in the world, and is around two thirds of US's. China's economy is growing continuously over 5% whereas the US already discussed facing a recession. In some metrics, such as PPP GDP, China already towers over the US. I think you're trying ver hard to diminish the second largest economy of the world at a moment where it's expected to be a few years until it's the single largest.
- OfficeChad 1y ago
  [dead]

jorts 1y ago

China’s GDP growth is great but they will face a huge pain now that they face an unsustainable population decline. They have more people aged over 52 than younger. I empathize with their youth.

NhanH 1y ago
You are claiming that the median age in China is 52 or did I read this wrong? That would be beyond fake news level of statement (for my reading of the meaning) The current median age of China is about 40, which is not great for their context, but a world apart from 52.
ReptileMan 1y ago
The good thing about being authoritarian is that you can easily solve the births issue. The same way there was one child policy, there could be 3 or 4 with penalties for non compliance.
- jampekka 1y ago
  Highly unlikely CCP would pursue coercive birth policy, or even could do it if it wanted. CCP is extremely powerful but it still has to rely on the consent of the governed. It has to frequently roll back policies due to public outcry. Current birth rate increase policies in China are based mostly on rewarding for births and subsidizing parenting costs.
aylmao 1y ago
China is automating at an impressive rate. Isn’t automation easier to face with population decline than with population increase? I’d imagine young people mind getting replaced by machines more than old people.
- Ray20 1y ago
  >Isn’t automation easier to face with population decline than with population increase? No? These things do not seem to be connected in any way.

wqaatwt 1y ago

> GDP PPP That’s not a particularly meaningful metric.

psalaun 1y ago
No more no less than GDP. They outline different realities, which are all interesting to analyse as a whole.
- wqaatwt 1y ago
  PPP on its own is a relatively poor metric and only covers a subset of the economy. Then when you have semi closed economy like Russia with unclear currency rates (due to external capital inflow/outflow barriers) and convert the figures to USD you can end up with all sorts of wacky numbers