Lloyd Blankfein, well known CEO of Goldman Sachs made this statement when asked about the relationship between the economy of China surpassing the U.S economy, "It's just a question of timing. Eventually, it will. But you have to keep in mind their population is four times the population of the United States."
His main point in making this statement is the population disparity between the two. In terms of GDP he noted that the U.S. GDP was 18.5 trillion compared to China's 11.4 trillion. He doesn't see an increase topping the U.S. for quite some time, but said that it's inevitable for the two numbers to meet and eventually have China surpass. Do you agree with his statements or no? If so when do you see China surpassing the U.S.?
https://www.cnbc.com/2017/11/09/goldman-sachs-ceo-lloyd-blankfein-chinese-economy-will-surpass-the-us.html
I agree with this statement. I believe China will easily surpass the United States GDP due to their population alone. Their huge population and willingness to work for lower wages allows the Chinese to produce at a higher efficiency. That being said, the per capita GDP for China is much lower. This is because of higher wages and production costs in the US.
ReplyDeleteAmerica's percentage of the world's economic output has declined in year since 2000. In 2015, the U.S. contributed 16.7% of the worlds economy. But by 2025, this is expected to fall to 14.9%. There has been a rise in China's economy. China was responsible for 4.1% total and it has rose to 15.6 in 2015. Forecasting into the future we will expect China's contribution to the global economy to be 17.2%. China's global output has increased every year since 1990 except one year.
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