By the way here is the actual population of Greece: 10,775,643 (July 2015 est.) Since it is estimated that China is now 1.4 Billion people this is close enough to consider China's problem to be 1000 times Greece's
China's Brewing Crisis Is A Thousand Times Greece's
| Forbes | - |
Investors
fixated on the Greek crisis in recent years have missed another crisis
brewing in China, which is a thousand times worse than Greece's. China is the world's second largest economy, still growing by 7% (officially) and with plenty of foreign ...
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Investors
fixated on the Greek crisis in recent years have missed another crisis
brewing in China, which is a thousand times worse than Greece’s.
China is the world’s second largest economy, still growing by 7% (officially) and with plenty of foreign currency reserves. Greece is a tiny economy floundering in the swamp of its worst depression since the 1930s, barely holding on in the Eurozone.
Source: Tradingeconomics
But the two economies have one thing in common.
In the last four decades, they share a semi-Soviet economic model whereby a large part of the economy has been under the direct or indirect control of central and local government, constraining economic freedoms (see table).
In both countries government has been active in “strategic sectors,” telecom, utilities, transportation, and energy — as regulator, owner, financier, entrepreneur, and manager.
The active government involvement in these sectors has helped keep inefficient enterprises afloat, though more in China, where the government is the outright owner of State Owned Enterprises (SOEs), Town Village Enterprises (TVEs) — producing goods as varied as steel, laundry powder, aluminum and toilet paper.
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China's Brewing Crisis Is A Thousand Times Greece's
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China is the world’s second largest economy, still growing by 7% (officially) and with plenty of foreign currency reserves. Greece is a tiny economy floundering in the swamp of its worst depression since the 1930s, barely holding on in the Eurozone.
| Country | Population | GDP | Index of Economic Freedom Ranking | Ease of Doing Business |
| Greece | 10.81 million | $238 billion | 130 | 61 |
| China | 1.367 billion | $10.436 trillion | 139 | 90 |
But the two economies have one thing in common.
In the last four decades, they share a semi-Soviet economic model whereby a large part of the economy has been under the direct or indirect control of central and local government, constraining economic freedoms (see table).
In both countries government has been active in “strategic sectors,” telecom, utilities, transportation, and energy — as regulator, owner, financier, entrepreneur, and manager.
The active government involvement in these sectors has helped keep inefficient enterprises afloat, though more in China, where the government is the outright owner of State Owned Enterprises (SOEs), Town Village Enterprises (TVEs) — producing goods as varied as steel, laundry powder, aluminum and toilet paper.
end quote from:
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