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China Overtakes U.S. as World's Largest Economy

 

by Mike Bird

Business Insider

Sorry, America. China just overtook the US to become the world's largest economy, according to the International Monetary Fund.

 

Chris Giles at the Financial Times flagged up the change. He also alerted us in April that it was all about to happen

Basically, the method used by the IMF adjusts for purchasing power parity, explained here.

The simple logic is that prices aren't the same in each country: A shirt will cost you less in Shanghai than in San Francisco, so it's not entirely reasonable to compare countries without taking this into account. Though a typical person in China earns a lot less than the typical person in the US, simply converting a Chinese salary into dollars underestimates how much purchasing power that individual, and therefore that country, might have. The Economist's Big Mac Index is a great example of these disparities.

So the IMF measures both GDP in market-exchange terms and in terms of purchasing power. On the purchasing-power basis, China is overtaking the US right about now and becoming the world's biggest economy.

Please read more here.

 

International Business Times: LA Clippers' Sterling Racist Comments Threaten NBA's China Market

 

 
The Donald Sterling scandal is reverberating across the globe, reaching as far as China, the NBA’s biggest market outside of the U.S.

The fallout from the phone conversation recordings that were released by TMZ last week, on which Los Angeles Clippers owner Donald Sterling is heard making racist remarks, has overshadowed the NBA playoffs in China and prompted heated reactions from the 300 million-plus community of basketball fans and players in China. As of last year, the NBA had more than 52 million followers on the Sina Weibo and Tencent microblogs, the Chinese equivalents of Twitter. On Weibo, many Clipper fans and basketball fans alike fired back at Sterling.

“Disappointing for Clippers fans to hear such terrible comments from owners,” a blogger and self-described member of China’s "Clipper Nation" said online.

“Re-post to support the team NOT Sterling,” the microblogger added, attaching a photo of the Clippers' starting lineup with the caption, “Say No to Racism: we Clipper Nation here in China will always support our players, not Donald Sterling.”

Others were less kind.......

Though China’s decade-in-the-making NBA fan base won’t likely abandon the league over Sterling’s remarks, it’s clear that Chinese fans are are siding with the players.

In a country where religion is often condemned, worshipping NBA players may be the closest thing to religious observance for some fans. Eddie Huang, a Taiwanese-American author, restaurateur and basketball-enthusiast, wrote for ESPN about LeBron James' visit to Chengdu last summer. At the time, he wrote, the Chinese “love them some basketball.”

“When LeBron James comes to the Middle Kingdom, it becomes abundantly clear that Jesus is in fact African-American," he wrote. 

Please read more in the International Business Times.

BBVA Research: China is World's Most Powerful Nation


... and the Asian Tiger continues to roar!

Please read more here.

Chinese People Are Buying Gold Like Groceries

Please read more on Silver Doctors.

China Surpasses US as World's Largest Trading Nation

 

...and the Asian Tigers continue to roar...

Please read more here

China Plans to Build "Flying Cars"

 

 
A patent by Chinese engineers reveals their plans to build a flying car.  Their approach uses two large “lifting” fans positioned at the back and front of the vehicle, with each rotating in opposite directions.

Please read more here.

China The New Superpower?

ZeroHedge: NSA Spying Revelations Kill IBM Hardware Sales in China

 

The first shot was fired on Monday. Teradata, which sells analytics tools for Big Data, warned that quarterly revenues plunged 21% in Asia and 19% in the Middle East and Africa. Wednesday evening, it was IBM’s turn to confess that its hardware sales in China had simplycollapsed. Every word was colored by Edward Snowden’s revelations about the NSA’s hand-in-glove collaboration with American tech companies, from startups to mastodons like IBM.

But the fiasco was tucked away under the lesser debacle of IBM’s overall revenues, which fell 4.1% from prior year, the sixth straight quarter of declines in a row. Software revenue inched up 1%, service revenue skidded 3%. At the hardware unit, Systems and Technology, revenue plunged 17%. Within that, sales of UNIX and Linux Power System servers plummeted a dizzying 38%. Governmental and corporate IT departments had just about stopped buying these machines.

...and the Asian tiger roars!

Please read more here.

Chinese New Year 2013: Year of the Snake

 

February 10, 2013

Chinese New Year is the most important of the traditional Chinese holidays.

Please read more here.

44 Signs of How Dominant the Chinese Economy Has Become

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