The average Chinese consumer is able to purchase more than the average American consumer

[GBCW 397]

Breaking, all over the financial interwebz. Google it. I'd paste an article but the title is really all you need to know and besides, I like my title the best.

[Mr. Big Dog 10,747]

Is China ready for the mass migration to her shores?

[GandD 5,966]

I imagine they already have some of that.

[Mr. Big Dog 10,747]

I imagine they already have some of that.

Maybe we should move our southern border to China...

[Mr. Big Dog 10,747]

You might like your thread title, AJ, but it is not reflective of what is actually being reported.

IMF: Chinese Economy Now Bigger than America’s by Tina Nguyen | 12:11 pm, October 8th, 2014 24

While the US technically has the largest GDP in the world, the Financial Times today pointed out that, in terms of purchasing power, China has officially overtaken the U.S. as the world’s largest economy.

This new reality comes from the fact that, dollar for dollar, the average Chinese consumer is able to purchase more than the average American consumer, in a concept known as purchasing power parity. Let Business Insider explain exactly this is:

The simple logic is that prices aren’t the same in each country: A shirt will cost you less in Shanghai than in San Francisco, so it’s not entirely reasonable to compare countries without taking this into account. Though a typical person in China earns a lot less than the typical person in the US, simply converting a Chinese salary into dollars underestimates how much purchasing power that individual, and therefore that country, might have. The Economist’s Big Mac Index is a great example of these disparities.

The International Monetary Fund, which tracks economies by their PPP, estimates that by the end of 2014, China will make up 16.48% of the world’s purchasing-power adjusted GDP, and the US will make up just 16.28%. In actual dollar amounts, that’s $17.6 trillion vs. $17.4 trillion. This is, relatively speaking, a small margin, but enough of a blow to America’s pride.

Edited October 8, 2014 by Mr. Big Dog

[GBCW 397]

"...dollar for dollar, the average Chinese consumer is able to purchase more than the average American consumer, in a concept known as purchasing power parity."

[Darnell 8,473]

Is China ready for the mass migration to her shores?

?? many Indians and Nigerians already there -

so unsure what to tell you, 'cept study what's gone down the prior 3 years.

[GBCW 397]

It all started when the Buddha (he was Indian too) spoke to a Chinese emperor in his dreams.

[Mr. Big Dog 10,747]

"...dollar for dollar, the average Chinese consumer is able to purchase more than the average American consumer, in a concept known as purchasing power parity."

Still wrong. They're looking at the purchase power adjusted GDP of both the nations. China as a whole might have surpassed the US in pp adjusted GDP but that doesn't translate to the average Chinese being able to purchase more than the average American. It is worth remembering that there are more than four times as many Chinese as there are Americans. When you take this down to the individual average - i.e. the average American vs. the average Chinese, you will find that per the IMF the per capita PPP GDP in the US is at $53K vs. less than $12K for China. So the average Chinese has less than a quarter of pp adjusted GDP vs. the average American.

Edited October 8, 2014 by Mr. Big Dog

[GBCW 397]

Moderators - I didn't post an actual article so how do you decide which title to use?

[Mr. Big Dog 10,747]

?? many Indians and Nigerians already there -

so unsure what to tell you, 'cept study what's gone down the prior 3 years.

I'd submit that there are more Chinese in African countries than there are Africans in China. I've seen them invade Ethiopia in force a few years back. Word is they're still there and they have multiplied since.

Moderators - I didn't post an actual article so how do you decide which title to use?

lol - this is hilarious. Moderation probably took you up on the idea to google the matter and picked the first headline that came up.

[GBCW 397]

Chinatowns in India, too.

[Darnell 8,473]

I'd submit that there are more Chinese in African countries than there are Africans in China. I've seen them invade Ethiopia in force a few years back. Word is they're still there and they have multiplied since.

hey - no argument from me - i know that trend also.

but i was limiting to two countries, folk 'immigrating' into China from India and Nigeria.

Meanwhile back in Africa, 'cross most of the countries in that landmass -

China has invaded, economically, with more 'boots on the ground' than any other country.

[Teddy B 17,250]

Still wrong. They're looking at the purchase power adjusted GDP of both the nations. China as a whole might have surpassed the US in pp adjusted GDP but that doesn't translate to the average Chinese being able to purchase more than the average American. It is worth remembering that there are more than four times as many Chinese as there are Americans. When you take this down to the individual average - i.e. the average American vs. the average Chinese, you will find that per the IMF the per capita PPP GDP in the US is at $53K vs. less than $12K for China. So the average Chinese has less than a quarter of pp adjusted GDP vs. the average American.

Yeah, but what does that equate to in eggrolls?

[JohnR! 5,495]

Good for them.