“Buri Nazar Wale Tera Moonh Kala”. Thank god! Our Great India is out of global meltdown (officially).Although since the beginning; we were insulated from this melodramatic global event. There was a lot of continuous fuss about global downturn. There was a great hue and cry all over the globe because financial crisis had broken the backbone of global economy. Job crises, mortgage problem, credit problem, money lending all seemed out of hand.
Then, all the biggest economy of the world poured a lot of money in their country in the form of stimulus packages to maintain money flow in the market because proper flow of money in the market is the symbol of a healthy economy.Although the global recovery rate is slow yet it seems tangible. Its recovery symptoms can be visualized especially with the Asian and Europe market.
The economists are predicting that the situation will improve but world’s economic growth cycle will roll after 2010.
China
This year China will probably account for the whole of net world economic growth. China's GDP growth is projected to be 8.0% or above. Its economy grew by 7.9% year-on-year in the second quarter and is accelerating. China's performance is stellar in conditions where this year most major economies will shrink.
This magic is because of unique and indeed "Chinese characteristics".
China has a series of integrated and mutually reinforcing policies. There are few key aspects of it like:
• The first is the china's high proportion of exports
• Second is China's high level of investment.
• Third, a decisive point showing China has a "socialist market economy" and not "market capitalism", is its method of macro-economic regulation.
With its policies,there is no doubt that China could be next global power.
2 comments :
Contrary to China's propagandist statistics, they are already tipping into economic depression. Within 6 months, you will see the reality they have been hiding.
Here’s a thumbnail of what it takes, in my view, for a society to be prosperous:
1) An inventive / innovative class; people have to want to invent things and processes;
2) Cross-culturalization, where multiple inventors get together and compare their inventions, and newer \ better inventions are created;
3) Seaports or trade route intersections;
4) Business flowing from invention / innovation;
5) Decent Jobs flowing from business, so people can take care of their families with pride;
6) A reasonably decent life flowing from more people having jobs; and
7) Education encouraging the repeat of the process
Either some force in society sets this in motion, governs the process, and maintains it, or it does not. If you leave it to chance, you might be on top for a while but you will not be on top indefinitely. But that is a cost of freedom, when you do not direct people what to do with their lives.
My suspicion is that China will be the next world power because they tell more people what to do, and they are more controlling. More free? Of course not. But more planning, organization, consistency, and coordination take place under their model. We in the U.S. use the “herding cats” model, and there are benefits and costs associated with it.
We’ve needed more inventors for years, and few in our country have paid attention to that issue.
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