China's ability to consume

Ever have visions?  Ever wonder where they come from?

So here is a chart of the evolution of the United States worker/consumer, 1492 to 2008.  The question in my head as I looked at the chart in my mind was where is China at today?

It is hard to say, with some city complexes as state of the art as any in the world, I suspect they have the ability to consume vast more resources than they currently do.  Recent actions taken by the Chinese Central bank to lower interest rates and stimulate domestic consumption in this economic downturn is wise on their part.  I am remodeling a house at this time and the prices for building materials are two thirds of what the prices were two years ago.  Investors and builders who did not get caught up in the frenzy and are able to take advantage of cheaper material, labor and greater cooperation of the permit agencies are scooping handfuls of wealth. 

China is in the position to prosper and the moves they are making suggests they see the opportunity as well.  Take advantage buy FXI.




 

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