Monday, February 23, 2015

William Pesek is an idiot

Bloomberg - China growth is slowing. See if you can make B follow from A here:
a Chinese slowdown will rob the world of another vital growth engine amid already tepid demand.

If China's already the world's second largest economy, and if it's still growing even at 3-4%, that still means the world's second largest economy is already growing at 3-4%.

That's still better than the Eurozone and Japan, and about equal with the US.

The only reason anyone would whine about slower Chinese growth* is because they want to make money speculating on demand shortages caused by overheated growth.

* - And btw, note that growth in the real estate sector provides little benefit to the economy because the real estate sector is generally unproductive; what you want is growth in services and manufacturing, where productivity improvements can strongly impact GDP growth.

No comments:

Post a Comment