China's Foreign Direct Investment

Foreign Direct Investment (Inflows and Outflows)

Definition: FDI stands for Foreign Direct Investment, a component of a country's national financial accounts. Foreign direct investment is investment of foreign assets into domestic structures, equipment, and organizations. It does not include foreign investment into the stock markets.

During 1979 to 1991, FDI inflows were low, but they grew steadily. From 1992 to 2001 FDI inflows initially increased very rapidly, however, they slowed after 1997 and declined in 1999 and 2000, followed by a moderate recovery in 2001. The total value of China’s foreign trade increased from US$509.65 billion in 2001 to US$1,760.4 billion in 2006. China’s current FDI sits at $1732.339 (Billion $US.)

Source: Taken from

http://economics.about.com/cs/economicsglossary/g/fdi.htm

http://epress.anu.edu.au/chinalink/pdf/ch11.pdf 

https://www.cia.gov/library/publications/the-world-factbook/geos/ch.html

 

China's Terms of Trade

Terms of Trade

Definition: Terms of trade is an index of the price of a country's exports in terms of its imports. The terms of trade are said to improve if that index rises.

China is one of the world’s largest exporters, especially in the industry of manufactured goods. China exports $1.581 (Trillion $US) worth of traded products and imports $1.327 (Trillion $US) worth. The difference is $254 (Billion $US) and means that the trade budget is in surplus.

Source: Taken from

http://economics.about.com/od/economicsglossary/g/termsoftrade.htm

http://en.wikipedia.org/wiki/Terms_of_trade

https://www.cia.gov/library/publications/the-world-factbook/geos/ch.html

http://www.tradingeconomics.com/charts/china-balance-of-trade.png

China's GINI Index

Definition: Standard economic measure of income inequality, based on Lorenz Curve. A society that scores 0.0 on the Gini scale has perfect equality in income distribution. Higher the number over 0 higher the inequality, and the score of 1.0 (or 100) indicates total inequality where only one person corners all the income.

In 2007 China Gini index sat at 41.5, and to this day hasn’t changed much. Previously China Gini Index was around 0.25 in 1985 and has been rising ever since.

Source: Taken from

http://www.businessdictionary.com/definition/gini-index.html

https://www.cia.gov/library/publications/the-world-factbook/geos/ch.html

http://epress.anu.edu.au/apps/bookworm/view/China%3A+The+Next+Twenty+Years+of+Reform+and+Development/311/images/figure4_ch14__fmt.jpeg

China's Average Weekly Earnings

Definition: AWE measures the average weekly earnings of employed wage and salary earners.

The average weekly earnings of China’s average worker is $629.04 ($US) which is up from the 2009 AWE of $625/49.

Source: Taken from 

http://articles.businessinsider.com/2010-02-06/markets/29955409_1_average-weekly-earnings-earnings-of-production-workers

http://articles.businessinsider.com/2010-02-06/markets/29955409_1_average-weekly-earnings-earnings-of-production-workers

https://www.cia.gov/library/publications/the-world-factbook/geos/ch.html

China's Nation Debt Level

Definition: Government debt (also known as public debt, national debt,) is money (or credit) owed by a central government.

The Chinese government are currently sitting on a debt of 18.9% of their GDP ($1.110942 Trillion US). This bad debt has been generated through cheap credit and huge stimulus packages.

Source: Taken from

http://en.wikipedia.org/wiki/Government_debt

http://www.wsws.org/articles/2011/jul2011/pers-j12.shtml

https://www.cia.gov/library/publications/the-world-factbook/geos/ch.html

http://www.gaspricenews.com/wp-content/uploads/2011/01/world-us-china-debt-comparison.png

China's Budget Outcome

Budget outcome (Surplus or Deficit)

Definition: A budget is a description of a financial plan. It is a list of estimates of revenues to and expenditures by an agent for a stated period of time. Normally a budget describes a period in the future not the past.

China is aiming for a deficit of about $137 billion or at 2% of its GDP. China’s current 2011 budget sits in deficit with revenue of $1.227 (trillion $US) and expenditure of $1.323 (Trillion $US) calculating the difference to be $0.096 (Trillion $US). 

Source: Taken from

http://www.reuters.com/article/2011/03/05/us-china-economy-budget-idUSTRE7240SY20110305

http://economics.about.com/cs/economicsglossary/g/budget.htm

China's Gross Domestic Product (GDP)

GDP

Definition: The monetary value of all the finished goods and services produced within a country's borders in a specific time period, though GDP is usually calculated on an annual basis. It includes all of private and public consumption, government outlays, investments and exports less imports that occur within a defined territory.

With constant growth rates around 10%, China has been the fastest growing major economy. It is the world biggest exporter and the second biggest economy. Its current Gross Domestic Product (GDP) Rate sits at 10.3% after 9.2% in 2009 and 9.6% in 2008. China’s GDP stands at $5.878 (Trillion $US), its Purchasing Power Parity GDP stands at $10.09 (Trillion $US) and its Purchasing Power Parity Per Capita is $2,600 ($US).

Source: Taken from

http://en.wikipedia.org/wiki/Economy_of_the_People%27s_Republic_of_China

http://www.indexmundi.com/china/gdp_real_growth_rate.html

https://www.cia.gov/library/publications/the-world-factbook/geos/ch.html

http://www.google.com.au/publicdata/explore?ds=d5bncppjof8f9_&met_y=ny_gdp_mktp_cd&idim=country:CHN&dl=en&hl=en&q=china%27s+gdp

China's Inflation

Inflation

Definition: The rate at which the general level of prices for goods and services is rising, and, subsequently, purchasing power is falling. Central banks attempt to stop severe inflation, along with severe deflation, in an attempt to keep the excessive growth of prices to a minimum.

Over the past seventeen years China’s average inflation rate has been 4.25%, with a maximum of 27.7 % and a minimum of -2.2%. The current inflation rate sits at 5.5% after slowing down from 6.5% earlier on in the year.

 Source: taken from

http://www.tradingeconomics.com/china/inflation-cpi
http://www.tradingeconomics.com/charts/china-inflation-rate.png

China's Unemployment

Unemployment

Definition: An economic condition marked by the fact that individuals actively seeking jobs remain un-hired. Unemployment is expressed as a percentage of the total available work force. The level of unemployment varies with economic conditions and other circumstances.

The unemployment rate of China currently sits at 6.1% (80,203,080.9) of the total population of China (1,336,718,015.) this rate is inaccurate due to data collection from only urban areas. This means that rural areas of china have not been accounted for and have a high unemployment/underemployment rate. This unemployment rate also does not take migrants into account, and if it did, could potentially bring the unemployment rate up to around 9%.

Source: Taken from CIA World Fact book

https://www.cia.gov/library/publications/the-world-factbook/geos/ch.html

And Google Images

http://www.google.com.au/imgres?q=china%27s+Unemployment&um=1&hl=en&safe=off&sa=N&biw=1366&bih=614&tbm=isch&tbnid=y8Zbzj46jO4j3M:&imgrefurl=http://www.econosseur.com/2009/02/unemployment-in-china.html&docid=oHF0cugV_yTCMM&imgurl=http://www.econosseur.com/assets_c/2009/02/China_UE-thumb-510x370.png&w=510&h=370&ei=bU7TTrCZLMmfmQW_keWrDQ&zoom=1&iact=hc&vpx=485&vpy=149&dur=4464&hovh=191&hovw=264&tx=180&ty=73&sig=101712447845189046622&page=1&tbnh=124&tbnw=171&start=0&ndsp=19&ved=1t:429,r:2,s:0

Statistics on China

Indicators	Statistics	Year
Unemployment	6.1%	2009
Inflation	5.5%	2011 (October)
Gross Domestic Product Rate (GDP)	10.3%	2010
GDP Price	$5.878 (Trillion $US)	2010
GDP PPP	$10.09 (Trillion $US)	2010
GDP PPP Per Capita	$7.600 ($US)	2010
Budget outcome	Deficit - ($0.096) (Trillion $US)	2010
Budget Revenue	$1.227 (Trillion $US)	2010
Budget Expenditure	$1.323 (Trillion $US)	2010
Foreign Direct Investment (FDI)	$1732.339 (Billion $US)	2007
Terms of Trade (TOT)	$1.581/$1.327 (Trillion $US)	2008
Nation Debt Levels	18.9% of GDP	2010
Average Weekly Earnings (AWE)	$629.04 (Per Worker)	2010 (January)
GINI Index	41.5	2007
Gross Nation Index (GNI) Per Capita	$4,260  ($US)	2010
Population	1,336,718,015	2011