China Announces $580 Billion Stimulus Package
China Announces Economic Stimulus Package
In anticipation of G20 Economic Summit set for Washington next week China has announced a 580 billion dollar economic stimulus package.
About 10 years ago, China led in an effort to stimulate the Asian economy. At that time, China issued bonds to pay for construction of roads, bridges, and other infrastructure and it was considered to be highly successful.
Underlying all this, is the USA loosing its place as a world leader? China is playing it for all it can gain from it.
I’m confused, I keep reading that China has 4 trillion in savings. The people of China often work in factories and live in major poverty. I watched a documentary just a day or two ago showing a married couple that lived in single dormitory of their factory so they could save money. In other words, they don’t live together. Where they did live was lacking in the creature comforts American’s are use to and that’s a massive understatement.
So why is China able to stand out in such a troubled time. Who has this savings? I’m confused by all of what I’m reading. I suppose I’ll just have to keep reading. If anyone wants to explain these things to me, I’m all ears.
