CHINA SURPASSES JAPAN AS ECONOMIC POWER HOUSE OBTAINING NUMBER 2 SPOT IN THE WORLD BEHIND THE US
Posted on August 18th, 2010
By Walter Jayawardhana in Los Angeles
China has surpassed Japan to become the worldƒÆ’‚¢ƒ¢-¡‚¬ƒ¢-¾‚¢s No.2 economy , behind only the United States , the Los Angeles Times reported.
In a lead story in its business section the newspaper said, ƒÆ’‚¢ƒ¢-¡‚¬ƒ…-ChinaƒÆ’‚¢ƒ¢-¡‚¬ƒ¢-¾‚¢s economy has surpassed, as the worldƒÆ’‚¢ƒ¢-¡‚¬ƒ¢-¾‚¢s second largest. a highly anticipated milestone rich in symbolism for a developing country that began market reforms only three decades ago.ƒÆ’‚¢ƒ¢-¡‚¬ƒ”š‚
The news caught headlines when JapanƒÆ’‚¢ƒ¢-¡‚¬ƒ¢-¾‚¢s government said Monday (August 16) its economic output in the second quarter slowed to $ 1.28 trillion, short of the $ 1.33 trillion China reported over the same period.
The LA Times further reported, ƒÆ’‚¢ƒ¢-¡‚¬ƒ…-Although ChinaƒÆ’‚¢ƒ¢-¡‚¬ƒ¢-¾‚¢s economy had also bested JapanƒÆ’‚¢ƒ¢-¡‚¬ƒ¢-¾‚¢s in the fourth quarter of last year, economists say China is poised to be ahead for the foreseeable future as JapanƒÆ’‚¢ƒ¢-¡‚¬ƒ¢-¾‚¢s economy struggles to recover from the financial crisis.ƒÆ’‚¢ƒ¢-¡‚¬ƒ”š‚
It opined that Japan has been stunted by weak consumer spending and lower cooperate investment. It further pointed out that although ChinaƒÆ’‚¢ƒ¢-¡‚¬ƒ¢-¾‚¢s economy has slowed in recent months from its most torrid expansion, many economists expect it to maintain high growth rates as the country continues to urbanize.
The Times said, ƒÆ’‚¢ƒ¢-¡‚¬ƒ…-ChinaƒÆ’‚¢ƒ¢-¡‚¬ƒ¢-¾‚¢s population is ten times the size of JapanƒÆ’‚¢ƒ¢-¡‚¬ƒ¢-¾‚¢s , and ChinaƒÆ’‚¢ƒ¢-¡‚¬ƒ¢-¾‚¢s growth was more than 10 % last year ,ƒÆ’‚¢ƒ¢-¡‚¬ƒ”š‚ quoting Masamichi Adachi ,JP MorganƒÆ’‚¢ƒ¢-¡‚¬ƒ¢-¾‚¢s senior economist in Tokyo. He was further quoted as saying that JapanƒÆ’‚¢ƒ¢-¡‚¬ƒ¢-¾‚¢s economy had been sluggish and it was inevitable that China would overtake Japan.
The Times further said, , ƒÆ’‚¢ƒ¢-¡‚¬ƒ…-Today, ChinaƒÆ’‚¢ƒ¢-¡‚¬ƒ¢-¾‚¢s demand for energy and raw materials helps dictate global supply and demand.ƒÆ’-¡ƒ”š‚ Coupled with its mass holdings of foreign reserves and debt , BeijingƒÆ’‚¢ƒ¢-¡‚¬ƒ¢-¾‚¢s international clout – whether it admits or not – has risen to new heights. The Asian giant has also irked trading partners by keeping its currency cheap to boost its trade sector.ƒÆ’-¡ƒ”š‚ ChinaƒÆ’‚¢ƒ¢-¡‚¬ƒ¢-¾‚¢s economic ascendance has been fueled largely by the sheer size of the nation.ƒÆ’-¡ƒ”š‚ Its population of 1.3 billion has helped build it into the worldƒÆ’‚¢ƒ¢-¡‚¬ƒ¢-¾‚¢s number one automobile market and the largest exporter.ƒÆ’‚¢ƒ¢-¡‚¬ƒ”š‚ƒÆ’-¡ƒ”š‚
August 18th, 2010 at 9:03 pm
This is not surprising given China is a totalaritian country, they can implement policies wihtout bothering about protests etc. Just take Tiananmen massacre for example. However in human rights field China has a long way to go given the exiatnce of hideauos Bamboo Gulags to lock away dissidents. Guess in Sri Lanka we are still lucky cos after the Reign of Terror 1987-89 no other government still experimented with hidden detntion camps ( except for suspected terrorrists)
August 20th, 2010 at 2:43 am
Marat, since you are a tamil it is natural you are pro-Indian and anti Chinese. I think still Indians and tamils have the pain of 1962 defeat from China. Yankees, Pommies and Monkeys are way jealous of China become a world powerful nation. Tiananmen incident is a domestic matter. Why don’t you talk about India’s invasion of Sikkim. Isn’t it a human right violation of Sikkim’s? But Indians or tamils cannot stop China become the world power. We, Sinhalese are sincerely proud of our best friendly nation China’s achievement.
August 24th, 2010 at 4:05 am
Sri Rohana
I’m not a Tamil. I just stated the obvious. I have no special concern for India