In this post, I’m going to try to tackle a pretty complicated topic: China’s currency exchange rate. Or should I say lack thereof. This is a very hot-button topic in global economics and politics. You’ve probably heard anything from the intelligent “China does not freely float its currency” to the emotional “China is a currency cheater and steals jobs from Americans.” …
“Made in China” – Breaking Down China’s GDP
So in my prior post on China, I shared a few pics, videos, and thoughts on the random rows of apartment/condo towers that we saw, often in the middle of nowhere, on our train ride through Northern China, concluding that post with the following thought: “China is like a shark. It must keep swimming or it will die. Except ‘swimming’ is really …
Over-Simplifying the Chinese Economy. From a Single Train Ride.
So. Let’s get a post out there on China’s economy. Which is really really big. China passed Japan not so long ago to take the silver for 2nd largest economy in the world. <- – – Click this little footnote. The Chinese economy is huge, coming in at about 10.4 trillion dollars for 2014. So obviously this post isn’t going to fully …
Of Mice & Yen: Part 4 of 4
In the prior three parts to this series, we explained that Japan has a demographic problem (part 1), a debt problem (part 2), and that the two are likely to collide in the coming years (part 3) when Japan eventually is faced with higher interest rates.<- – – Click this little footnote. So to close out the series we’ll take a …
Of Mice & Yen: Part 3 of 4
As I attempted to explain in Part 1 and Part 2 of this series, Japan has a demographic problem and a debt problem . The Eventual-But-Not-Sure-Exactly-When Japanese Debt Crisis So here’s the issue. Japan currently has a budget deficit of about 6.9%. As long as the government is running a budget deficit it will continue to need more debt to fund …