Booms, Busts, and Recoveries Message Board

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Strategies & Market Trends : Booms, Busts, and Recoveries

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To: RealMuLan who wrote (53264)	9/12/2004 3:50:11 PM
From: Taikun	Read Replies (1) of 74559

<So what can make Roach consider China to have had consumer demand?> Roach is talking now, not 2050. Take US demand out of the picture and these Asian countries cannot survive without exports. The future is rosy but $1000 p.a. in earnings does not buy many $2,000 dinette sets that China sells around the world. Gasoline consumption is 1/10 the US on a per capita basis. Will Chinese pay the fat margins for their products that they sell outside China? That dinette set probably cost a few hundred to make and the domestic sales price in China would be a little over that.

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