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China’s GDP growth is no longer in double digits; it’s in the 4–5% range, and many analysts expect it to fall further due to demographic decline and low product
by mensetmanusman 1y ago
China’s GDP growth is no longer in double digits; it’s in the 4–5% range, and many analysts expect it to fall further due to demographic decline and low productivity growth due to capital investments in infrastructure not needed but politically necessary due to city politics.
U.S. per-capita income is roughly $80,000, while China’s is about $13,000. Adjusted for purchasing power it would take decades (at current trajectories, which may be slowing due to EU backlash etc.) to converge.
China leads in high-speed rail and EV adoption. These don’t automatically translate into higher overall living standards — healthcare, wages, pensions, and social safety nets matter more.
China’s lending practices have also led to accusations of “debt-trap diplomacy,” and some countries are now cautious about overreliance on Chinese help. This is why China negativity amongst all of their immediate neighbors is so high.
- edmundsauto 1y agoDebt trap diplomacy is nicely covered in a fun read called Confessions of an Economic Hit Man. Was the standard approach from the US for a while during the Cold War
- mensetmanusman 1y agoSuch a strategy applied only in foreign aid and development lending. all programs combined was about 0.3% of GDP. U.S. aid was about Cold War geopolitics, China’s BRI is about long-term economic influence via infrastructure debt.