RRJ#3 China's economy to expand 9.4% in 2010, report forecasts

China's economy to expand 9.4% in 2010, report forecasts

Reference:

Xinhua .(2009,November 20 ) China's economy to expand 9.4% in 2010, report forecasts http://english.peopledaily.com.cn/90001/90778/90862/6819640.html

Summary:

China’s economy is going to increase; that is expected to pass 9% 2011. That will include the growth of domestic consumption and improving exports, the China's retail sales were 16.2% year on year to 171.3 billion U.S . dollars. The world tries to renew its economy but that is not easy to do, according president of the School of Economics of the university. in other hand the exports declined 13.8%year on year to $ 110.8 billion last month , the smallest decrease in 10 months , while the imports arched $ 86.8 billion which means it backed down 6.4% last year.

Mr. Liu Yuanchun requested from the government to make plan for low rent apartment s and the affordable housing program for next year. The report expected that China will spend this year 8.56% more this year than last year.

China’s gross domestic product (GDP) grew 7.7% year by year, according to the report, the country's consumer price index (CPI), a main measurement of inflation, would dip 0.7 percent this year, the (CPI) decreased last October .0.5%. The economists have hopefulness for China's economy. Fan Gang, director of the Beijing-based National Economic Research Institute expected that the economy will grow between 8 to 9% this year, however , the another economist at Goldman Sachs, expected that China's economy would expand 11.9 percent year on year in 2010.

Reaction:

China’s economy is the third economy in the world, because there are the three important recourses for any economic system; those are the natural resources, the human resources , and the financial resources . All of those resources support the Chinese economy.

In terms of the export and import, if any country exports more than it imports that means its economy is working well, and if the export is less than import, that means economy is going to be weak. The meaning of the export is getting more money, but the import means spending more money.

the growth in GDP should fit the growth in the population and the changes in the prices in the country to avoid the inflation, which is the one of the biggest problems in any economic system.