Posts

Showing posts from October, 2023

An Economic Miracle or Economic Myth: Looking at Chinese GDP Figures

Image
                                                                         By: Marco Dorazio  Since 1989, China has averaged a GDP growth rate of about 9% per year. However, in 2023, this figure is predicted to be right under 5% at 4.9% YoY GDP growth. This is a drop-off, a steady one; China’s annual growth rate has been shrinking at a near-linear rate with a correlation coefficient per year of growth at -0.9912, note that -1 would be a perfect correlation. This fact shows how consistently and predictably China’s economic growth has been dropping for more than a decade now. In fact, its slowing growth is being further exacerbated by a plethora of issues, ranging from disturbingly high youth unemployment, low birth rates, drops in arable land, drops in consumer spending, drops in investments into infrastructure and housing, a growing real estate bubble which has already sent two mega firms into crisis. This may all seem bad, but newer research from newer technologies has shown an even dee