As for China being an export economy, the Chinese government has been working for years to wean China from dependence on exports. They have been fostering a consumer economy and there’s evidence that their efforts are paying off. Unlike the US, the Chinese are actively engaged from a policy perspective in growing their middle class because they understand that it takes middle class to have vibrant internal economic activity.
This is very true and risky for us American. Where are we going to get cheap products once the Chinese people consumes internally? Fewer products here mean Inflation!
LegoAbs