Realistic Exuberance (China)

China Business Review ^ | 2002 | Brian L. Goldstein

[maui_hawaii]

The bankers' version of the old adage about the profits to be had in China is experiencing a revival among foreign financial services firms: Colossal profits await if only every Chinese household would borrow for a home or auto purchase, buy home and life insurance, and invest in mutual funds, retirement accounts, and college tuition savings plans. True, China's financial industry is undergoing ambitious liberalization as a result of the country's World Trade Organization (WTO) commitments and broader internal reform. But it is just as true that China's opening will not spell instant profits for foreign companies, as the pace and scope of liberalization will depend on both cautious regulation and commercial realities.

At first glance the article is quite long and fairly balanced. For the rest of it click here

[Cindy]

speaking of China...

INSIGHT On The News online: "FIDEL MAKES OFFER TO CHINESE GOVERNMENT" (060302)

AMERICAN FOREIGN POLICY COUNCIL - China Reform Monitor: "CIA, DOD WARN OF CHINA CYBER ATTACK ON U.S.; CLINTON PAID $250,000 FOR HALF-HOUR SPEECH IN CHINA" -Editor: Al Santoli (052102)

[maui_hawaii]

fairly balanced

Clearly these guys are on the defensive, trying to promote China as a sound long term investment. Also, of course one must recognize that it is their job to promote China.

But it is just as true that China's opening will not spell instant profits for foreign companies, as the pace and scope of liberalization will depend on both cautious regulation and commercial realities.

Keeping in mind that it is their job to promote China, (hence the take off on the 'irrational exuberance' thing), this is fairly well researched.