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The following article was published in our article directory on November 12, 2010.
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China's Economy of Scale or Over the United States in 2012

Article Category: Business

Author Name: xia zihui

The Conference Board report released Wednesday said that with the U.S. slow down, China's sustained and rapid growth can make it next year when the lead locomotive of global economic growth.

The agency in its annual report that the global outlook, at least from an economic indicators, only two years, China may even surpass the U.S., Viagra is the world's largest economy.

China's economy grew 10% this year after gains in 2011 may reach 9.6%. Year under the U.S. economy next year is believed to slow to 1.2 percent. And the 2010 growth rate of 2.6%.

According to the most commonly used standard measure of economic size, in the second 5 trillion of China's economic size and the United States nearly 15 trillion gap between GDP remains high. According to this standard, even to maintain the existing high-speed growth, China may need 10 years to catch up with the United States, and the current rate for China will be difficult to sustain.

However, when taking into account purchasing power parity factors, the situation is different. By considering the purchasing power parity is a currency in the domestic goods and services actually purchased by large companies, including the World Federation of professional economists, including some close attention. Taking into account the two countries on the same difference in price - in other words, to measure people's real purchasing power of the two countries - the agency predicted that China's economy could overtake the U.S. in 2012.

Looking forward again in 2020, China accounted for the proportion of the global economy could reach nearly a quarter, while the U.S. is 15%, Western Europe - including France and Germany, including the EU-15 countries - 13%.

The agency warned the chief economist main risks to this forecast, China's rapid growing economy will suffer from runaway inflation or the impact of asset bubbles. But his basic prediction is that from 2010 to 2020, China and India together will account for half of global growth.

Fan Ake said, the world's largest economy will give China a "major challenge", on the one hand it has to bear to ensure the stable development of the global economy increased responsibility, and it still respond to the fragile domestic economy.

Unlike the U.S., China, now did not show to play a leadership role in the global economy, signs it refused to give up the dollar by keeping the currency artificially low to boost economic growth policies.

Chinese politicians claimed that China still lags behind other countries technologically, and the majority of the population still live in poverty, suggesting that they do not want to play a leadership role. They do this right.

Another measure of economic conditions in accordance with indicators - per capita output, China is far behind the United States. According to data from the International Monetary Fund, 2009, the U.S. gross domestic product per capita (GDP) of about $ 46,000. While China's per capita GDP less than 4,000 dollars.

Keywords: China roll forming machine, China others,

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