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Strategies & Market Trends : Greater China Stocks

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From: Julius Wong3/15/2012 8:32:22 AM
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Stephen Roach on the consumer opportunity in China
Focusing on exports to the world’s second-largest economy will help the United States generate growth and jobs, says Morgan Stanley Asia’s former nonexecutive chairman.
March 2012

A year ago, the National People’s Congress enacted China’s 12th five-year plan, which included three main building blocks: a greater focus on jobs, urbanization to boost wages, and financing a social safety net that encourages families to spend rather than save. Stephen Roach, a professor at Yale University and former nonexecutive chairman of Morgan Stanley Asia, says that this document’s implementation is marking a major shift in China’s model, away from exports and investment and toward internal, private consumption. Therein lies a huge opportunity for other nations to benefit from the emergence of the world’s largest consumer population.

mckinseyquarterly.com
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