What would happen to China if America Suddenly stops buying their products?


chinas gdp around 7,900 billion $, trade around 350 bn $ , import around 100 bn $ us. exports around 4 % of economical output. but: growing @ around 8 % per year = 650 bn $.

1. sell products other countries.
2. maybe reduce growth 8 % 4 % year , after no effect.
3. major problem us: cellphones , lcd tv's come china large number of consumer goods (shoes/toys/cloths) , not have industries available produce numbers short term (there no products apple produced in china) , needs months years build industries again.
5. average income of chinese worker 5000 $ year, comparable job in 30,000 - 40,000 $, products more expansive if ever produced in us.

easy task: go in mall or walmart , pick products , check made , consider not available short term or significant more expansive ......

plus: ows china appr. 2,000 bn $ dept: no more trade - no more interest china finance deficit = rising interest rates finance deficit .....



Social Science Economics Next



Comments

Popular posts from this blog

How to improve my website traffic?

What are the basics of colour wheel?

How can i fix my ac-dc converter?