Where rich Chinese want to live
http://money.cnn.com/gallery/news/2014/02/06/china-wealthy-move/index.html?iid=SF_E_River
Recent trends have shown that the
United States of America is the favorite destination of wealthy Chinese citizens.
A new program that exchanges a green card for a $500,000 investment as well as
a desire for cleaner air and water, and better schools has encouraged this
movement. They are also moving to Europe, Australia, Singapore, and other places
around the world. However, citizens making over 10 million yuan are interested
in staying in China. In the United States of America this idea is not too
popular among some of the wealthier citizens. Only time will tell whether this trend will
benefit or disrupt our economy.
There are thousands of Chinese people moving to the United Sates every year. This included wealthy people and also people with average health like my family. We came here with family based visas, which is according to USA Today, "The Family Fourth Preference, or F4 Visa, is available to foreign immigrants who are the brother or sister of an American citizen; this availability extends to the immigrant's spouse and children." My parents are earning just as much as what they were making in China, the reason they moved here mainly for family pride.
ReplyDeleteIf these wealthy Chinese men and women are making their money in China then begin to invest and spend in the United States economy, one would think that this spending will benefit the American economy. Pumping more money into the economy without just printing money will allow the growth of the money supply to increase without provoking a large amount of inflation. However, if these immigrants are beginning to take the jobs of wealthy Americans then the labor force participation rate begins to fall.
ReplyDeleteYou make a good point here, Matt. I think it has the potential to both help and hurt our economy. It can help because of foreign direct investment in the U.S. It can hurt if these immigrants are taking the jobs that American citizens are also looking for. It could also be hurting us because in the world market, our currency is being devalued as more foreigners demand the U.S. dollar. If this continues, the yuan will continue to be stronger than the dollar, thus not helping our economy on a world level.
DeleteRich, I'm not sure how increasing demand for the US dollar will devalue it in the world market? Maybe I am misunderstanding you, but it would seem like more people wanting the US dollar would equate to it being worth more compared against other currencies.
DeleteOn another note, it seems to me that there our economy could benefit from these people coming to America, especially if they continue or start up business in the US.
From this article it talks about the rich coming to the United States not immigrants looking for jobs here. They wouldn't be taking jobs here in the States because they would already have a stable and great paying job back in China. Its a very good thing having them move into the country because they are investing in our economy taking money from there jobs in China and basically transferring it to our economy.
DeleteI am glad to see that the United States is still esteemed around the world. Having people from other nations that want to come here is a sign that we are still doing some things right. The wealth that these people bring to the United States could be a welcomed boost to our still recovering economy.
ReplyDelete