Posted on 12/05/2014 8:24:01 AM PST by SeekAndFind
According to figures published by the International Monetary Fund, China has surpassed the US in economic output of real goods and services - a measure widely accepted as a gauge of total economic activity.
It's an esoteric measurement, but important because it ignores exchange rates:
These calculations are based on a well-established and widely used economic measure known as purchasing-power parity (or PPP), which measures the actual output as opposed to fluctuations in exchange rates. So a Starbucks venti Frappucino served in Beijing counts the same as a venti Frappucino served in Minneapolis, regardless of what happens to be going on among foreign-exchange traders.
China recently changed the way it calculates gross domestic product, bringing the measure in line with international standards:
China will this year produce $17.6 trillion — compared with $17.4 trillion for the U.S.A.
As recently as 2000, we produced nearly three times as much as the Chinese.
To put the numbers slightly differently, China now accounts for 16.5% of the global economy when measured in real purchasing-power terms, compared with 16.3% for the U.S.
This latest economic earthquake follows the development last year when China surpassed the U.S. for the first time in terms of global trade.
[...]
Yes, all statistics are open to various quibbles. It is perfectly possible China’s latest numbers overstate output — or understate them. That may also be true of U.S. GDP figures. But the IMF data are the best we have.
(Excerpt) Read more at americanthinker.com ...
What goes around comes around.
Democrats.
Well. As per historical gdps, India had the worlds largest economy until the 1500s when it was surpassed by China
When you spend the last 20 years basically giving away your technology all in the name of one happy world and at the same time gutting your industrial complex with off-shoring, taxes, and illegal immigration you reap what you sow.
Does this mean America is back in red or black?
Plus, considering that China has more than four times our population means that the economic size per capita is still way better here in the U.S.A. even with the millions of third worlders added to the mix.
Today would be a good day to celebrate free trade with mercantilist nations and the deindustrialization of the United States. Are George H.W. Bush, Bill Clinton, George W. Bush, Barack Obama, CEO’s of the Wall Street banks, and the free traders in Congress toasting Chinese President Xi Jinping for the event they worked so hard to bring about?
So will China now take over as the largest donor to the UN as they have the largest GDP ?
“When you spend the last 20 years basically giving away your technology all in the name of one happy world and at the same time gutting your industrial complex with off-shoring, taxes, and illegal immigration you reap what you sow.”
I think we have a winner!
” Today would be a good day to celebrate free trade with mercantilist nations and the deindustrialization of the United States. Are George H.W. Bush, Bill Clinton, George W. Bush, Barack Obama, CEO’s of the Wall Street banks, and the free traders in Congress”
YES!
And THAT is the stone truth.
This was planned from the get - screw the American working and middle class (they used to be the same) - and make billions off squat labor in the Communist slave state.
The plan is to reduce Americans to the same status - third world squalor - while a trans national elite lives in unheard of luxury. And that includes the Communist upper class of China.
This is the old deal about “purchasing-power parity” It’s not that China’s economy is really bigger than the U.S., it’s that they can buy that Starbucks coffee cheaper so their money counts for more.
Of course they have three times as many people too, but that’s not figured in either.
China has had a larger population for quite some time. The real answer is that China has become freer and the U.S. economy has become more and more controlled. That’s the lesson.
Obama’s fault.
RE: Of course they have three times as many people too
Make that over 4 times America’s population.
US Population 316.1 Million
China Population: 1.35 Billion
Since aren’t numba 1 anymore, will they lessen our taxes and let the Chiney support the world¿
That’s what I call a fundamental transformation. Thanks Barak.
Thank you! This is a meaningless statistic without bringing in population. The headline could just as easily read "China's economy 1/4 as efficient as the US".
Yeah I was thinking it might be four times after I posted!
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