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Strategies & Market Trends : 2026 TeoTwawKi ... 2032 Darkest Interregnum -- Ignore unavailable to you. Want to Upgrade?

To: elmatador who wrote (35184)	5/27/2008 5:18:27 AM
From: TobagoJack	Read Replies (1) \| Respond to of 221966

this just read, INSIDE CHINA - AND - JAPAN CHINA SAVES ITSELF - AND - JAPAN TURNS TO ASIA Even with the economic headwinds of increasing internal price controls combined with the most savage winter storms in nearly one hundred years and earthquakes, the Chinese economy is turning into a global wonder to behold. It is being powered forward by one main item - SAVINGS. As The Privateer has reported and analysed, the Chinese are trying hard to turn their expanding economy away from being export dependant towards relying on climbing internal consumption. It is succeeding, as can be seen in the form of soaring internal sales of consumer goods. Normally, any increase in consumption is followed by a fall in internal savings. With such a fall in savings, capital investment goes down. That is NOT happening in China! The savings rate as a proportion of GDP has climbed over the past five years to about 51 percent from about 40 percent, according to a May 5 report by UBS AG. A savings rate of 40 percent is huge in historical terms - a national savings rate of 50 percent is astronomical. What the above data shows is that the Chinese economy will power along - on savings.