[lbo-talk] Keiretsu Capital

[Stephen Philion]

Everything I've read/heard/seen about China suggests there's been massive
job creation; overall, real incomes do seem to be rising; mainland firms are
climbing the technology ladder very quickly; investment levels are very high
(maybe 30% of GDP, or higher); China's foreign reserves keep swelling; and
Taiwan continues to flourish. What's the evidence to the contrary? (A real,
not a rhetorical,
question.)

-- DRR

--surely that cannot be all that you've heard?

http://tinyurl.com/3bgnj

China frets over unemployment, weak rural incomes

 Reuters | 26 aug 03
China faces severe urban unemployment and flagging rural incomes despite
sizzling industrial expansion fuelling the risk of overheating, state media
quoted a top government official on Tuesday as saying.
"We should keep a cool head and see the contradictions and difficulties in
economic and social development as the national economy improves," the
Financial News quoted Ma Kai, head of the State Development and Reform
Commission, as saying.

Top leaders have warned that a failure to tackle unemployment could lead to
unrest and damage China's modernisation drive.

The average per-capita income for Chinese farmers was just 1,158 yuan ($140)
in the first half of this year, lagging far behind 4,300 yuan for urban
residents, official figures showed.

However, excessive investment and growth of the steel, building materials
and automobile sectors could fuel overcapacity and lead to economic
overheating, Ma said.

China is aiming to create eight million new jobs this year to help keep the
official urban jobless rate below 4.5 per cent, but Ma said the going would
be tough.

"The task to create eight million new positions this year is very arduous,
while farmers face some new difficulties in increasing their incomes," he
was quoted as saying.

....  see also  http://tinyurl.com/2oeo8

steve

steve