Tuesday, December 7, 2010

Waiting for China to Crash

Since 1981, China’s economic growth has been the most rapid in world history.  Despite this fact, my colleague Michael S. Bernstam and I are constantly amazed by the sheer volume of stories, reports, and blogs warning of China’s impending crash.

Google “China economic crisis.”  The result is 1,020,000 results (Dec. 6, 2010).  “China economic crash” yields 118,000.  “China economic problems,” 193,000.

In contrast, “China economic growth” turns up 121,000 hits.  “China economic opportunity” 94,900.

The ratio of crisis to growth is 8 to 1

The “daily China crash” is a wondrous, never-ending, daily outpouring of bad omens and prospects.  In defiance of this prognosis, an increasing number of firms are moving their headquarters and top people to Shanghai, Beijing, or Hong Kong.  Wait and see.

1 comment :

djorg3 said...

Are you saying that China will not crash?
David