Page 4 of 6 FirstFirst ... 23456 LastLast
Results 31 to 40 of 51

Thread: China overtakes Japan as world's #2 economy

  1. #31
    Sage

    Ahlevah's Avatar
    Join Date
    Aug 2009
    Location
    Flyoverland
    Last Seen
    Today @ 10:10 AM
    Gender
    Lean
    Other
    Posts
    5,926

    Re: China overtakes Japan as world's #2 economy

    Quote Originally Posted by ludahai View Post
    That cheap crap can't get much cheaper as labor costs within China are in the process of going up, with large numbers of foreign operations in China now forced to give raises to their employees...
    So a supplier to an American company gives a worker it's paying fifty bucks a month for a fourteen or fifteen hour day a raise to fifty-five bucks a month. Who cares? The labor component of the final value of goods sold in America is so low as to be ludicrous. And they still have to find a buyer with the discretionary income to pay any price.
    Нава́льный 2018

  2. #32
    Defender of the Faith
    ludahai's Avatar
    Join Date
    Apr 2005
    Location
    Taichung, Taiwan - 2017 East Asian Games Candidate City
    Last Seen
    07-03-13 @ 02:22 AM
    Gender
    Lean
    Very Conservative
    Posts
    10,320

    Re: China overtakes Japan as world's #2 economy

    Quote Originally Posted by Ahlevah View Post
    So a supplier to an American company gives a worker it's paying fifty bucks a month for a fourteen or fifteen hour day a raise to fifty-five bucks a month. Who cares? The labor component of the final value of goods sold in America is so low as to be ludicrous. And they still have to find a buyer with the discretionary income to pay any price.
    There are a lot of Taiwanese companies operating factories in China. They often operate on razor thin profit margins. There has been a lot of complaints here in the local media, especially from Hon Hai (also known as Foxconn) about the impact of the higher labor costs. Several have already moved to Viet Nam ... Taiwan is now the number #1 foreign investor in Viet Nam according to local media... Surely if Taiwanese companies are having profit margin issues in China, MNCs from other countries are as well...
    Semper Paratus
    Boston = City of Champions: Bruins 2011; Celtics 2008; Red Sox 2004, 2007; Patriots 2002, 2004, 2005
    Jon Huntsman for President

  3. #33
    Bohemian Revolutionary
    Demon of Light's Avatar
    Join Date
    May 2010
    Last Seen
    03-07-17 @ 12:25 AM
    Gender
    Lean
    Independent
    Posts
    5,095

    Re: China overtakes Japan as world's #2 economy

    Just thought I should note for you all that capitalist =/= free market.
    "For what is Evil but Good-tortured by its own hunger and thirst?"
    - Khalil Gibran

  4. #34
    Sage

    Ahlevah's Avatar
    Join Date
    Aug 2009
    Location
    Flyoverland
    Last Seen
    Today @ 10:10 AM
    Gender
    Lean
    Other
    Posts
    5,926

    Re: China overtakes Japan as world's #2 economy

    Quote Originally Posted by ludahai View Post
    There are a lot of Taiwanese companies operating factories in China. They often operate on razor thin profit margins. There has been a lot of complaints here in the local media, especially from Hon Hai (also known as Foxconn) about the impact of the higher labor costs. Several have already moved to Viet Nam ... Taiwan is now the number #1 foreign investor in Viet Nam according to local media... Surely if Taiwanese companies are having profit margin issues in China, MNCs from other countries are as well...
    I think that would only be a concern in relatively low value-added industries and products in which the labor component is a large part of the cost of production. But I imagine that the labor component in something like an Apple iPod is relatively low. Where it's not, and where efficiencies or margin contraction can't be found somewhere along the supply chain, then one of two things will happen: either the end purchaser will find new markets for its goods, or the supplier will go bankrupt, because you can't get blood out of a turnip. The U.S. has had no net increase in employment in ten years. It's about to end the decade with a decline in real median personal income. Total credit market debt is more than $52 trillion. American households simply don't have the money to buy a continuous supply of discretionary consumer products.
    Last edited by Ahlevah; 08-02-10 at 11:51 AM.
    Нава́льный 2018

  5. #35
    Stigmatized! End R Word! Kali's Avatar
    Join Date
    Mar 2008
    Last Seen
    08-19-12 @ 12:29 AM
    Lean
    Very Liberal
    Posts
    13,334
    Blog Entries
    7

    Re: China overtakes Japan as world's #2 economy

    Quote Originally Posted by Demon of Light View Post
    Just thought I should note for you all that capitalist =/= free market.
    Of course it does but it comes with a price. There are certain people we/U.S.A. should not do biz with.
    ~Following My Own Flow~

  6. #36
    Equal Opportunity Hater
    obvious Child's Avatar
    Join Date
    Apr 2008
    Location
    0.0, -2.3 on the Political Compass
    Last Seen
    12-09-14 @ 11:36 PM
    Lean
    Other
    Posts
    19,883

    Re: China overtakes Japan as world's #2 economy

    Quote Originally Posted by ludahai View Post
    Not capitalist if you consider how open the economy is... and there is a lot more state control and finance than most people thing.
    Yes and no. The fundamental nature of how people make money is indeed capitalistic. China's financing system is more properly described like Japan in the 1970-80s and Korea in the 80s.

    Restrictions within the country make it VERY difficult for foreign companies to gain access, even for products that they make in China... that is designated for export with very little of it consumed inside the country
    That doesn't change the argument, It merely deals with the focus of the firms within China.

    Most capitalistic? Hardly... they currently practice a form of neo-mercantilism...
    Depends how you define neo-mercantilism. Been to China lately? There's plenty of foreign imports from consumer goods to cars. Furthermore, extracting profits from China is not a hard task, unlike say Thailand circa 2001. Furthermore, the capacity of Chinese to do what they please in business far expands what Americans can ever hope of.
    "If your opponent is of choleric temperament, seek to irritate him." - Sun Tzu

  7. #37
    Defender of the Faith
    ludahai's Avatar
    Join Date
    Apr 2005
    Location
    Taichung, Taiwan - 2017 East Asian Games Candidate City
    Last Seen
    07-03-13 @ 02:22 AM
    Gender
    Lean
    Very Conservative
    Posts
    10,320

    Re: China overtakes Japan as world's #2 economy

    Quote Originally Posted by obvious Child View Post
    Yes and no. The fundamental nature of how people make money is indeed capitalistic. China's financing system is more properly described like Japan in the 1970-80s and Korea in the 80s.

    That doesn't change the argument, It merely deals with the focus of the firms within China.

    Depends how you define neo-mercantilism. Been to China lately? There's plenty of foreign imports from consumer goods to cars. Furthermore, extracting profits from China is not a hard task, unlike say Thailand circa 2001. Furthermore, the capacity of Chinese to do what they please in business far expands what Americans can ever hope of.
    I have lived in China, make occasional trips there... remember, I live less than 200km from China. And yes, they are neo-mercantilist. Their entire economic policy is about maximizing exports and minimizing imports. Imports are NOT all over the place and those that ARE there are either knock offs or due to the manipulation of the exchange rate are out of reach to the vast majority of Chinese.

    You do see foreign brand names in China, but the vast majority are produced IN China and are NOT imported. I HIGLY recommend reading "In the Jaws of the Dragon: America's Fate in the Coming Era of Chinese Dominance" by Eamon Fingleton.

    BTW, you made comparisons to Japan and Korea, those countries have been and still are guilty of engaging in their own neo-mercantilist economic policies. Where do you think China learned it from?
    Semper Paratus
    Boston = City of Champions: Bruins 2011; Celtics 2008; Red Sox 2004, 2007; Patriots 2002, 2004, 2005
    Jon Huntsman for President

  8. #38
    John Schnatter 2012 Phantom's Avatar
    Join Date
    Sep 2009
    Last Seen
    03-20-12 @ 12:48 AM
    Lean
    Progressive
    Posts
    638

    Re: China overtakes Japan as world's #2 economy

    Quote Originally Posted by digsbe View Post
    A communist economy is bound to implode. They are in a growth bubble, and when that bubble bursts they are going to be in serious trouble.
    They are more corporatist then communist. They call themselves communists but if you read the Communist Manifesto it doesn't come close.
    Vote John Schnatter (Papa John) 2012!

  9. #39
    Slayer of the DP Newsbot
    danarhea's Avatar
    Join Date
    Aug 2005
    Location
    Houston, TX
    Last Seen
    Today @ 04:43 AM
    Gender
    Lean
    Conservative
    Posts
    39,763

    Re: China overtakes Japan as world's #2 economy

    It was eventually bound to happen. China is 20 times the size of Japan. Also, Japan has limited natural resources.
    The ghost of Jack Kevorkian for President's Physician: 2016

  10. #40
    Defender of the Faith
    ludahai's Avatar
    Join Date
    Apr 2005
    Location
    Taichung, Taiwan - 2017 East Asian Games Candidate City
    Last Seen
    07-03-13 @ 02:22 AM
    Gender
    Lean
    Very Conservative
    Posts
    10,320

    Re: China overtakes Japan as world's #2 economy

    Quote Originally Posted by danarhea View Post
    It was eventually bound to happen. China is 20 times the size of Japan. Also, Japan has limited natural resources.
    in land area or population? China's population is about 10-11 times that of Japan...
    Semper Paratus
    Boston = City of Champions: Bruins 2011; Celtics 2008; Red Sox 2004, 2007; Patriots 2002, 2004, 2005
    Jon Huntsman for President

Page 4 of 6 FirstFirst ... 23456 LastLast

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •