new-report-cuts-chinas-economy-down-a-size

New report cuts China's economy down a size

The ADB suggests China is 40% poorer and smaller than previously believed, and that its exchange rate is less undervalued.
An Asian Development Bank report is suggesting that ChinaÆs GDP on a purchasing power parity basis PPP is 40% smaller than previously believed, according to Albert Keidel, a China specialist at the Carnegie Endowment for International Peace.

Keidel wrote an article in the Financial Times on the topic last month. Keidel is an expert on PPP, and did groundbreaking research on China in the 1990s.

The report will delight the Chinese government which has frequently complained about the previously accepted PPP GDP figure û an astonishing $10 trillion, according to AmericaÆs Central Intelligence Agency. ThatÆs not far off the size of the US economy in nominal dollar terms, on $13 trillion.

The Asian Development...
¬ Haymarket Media Limited. All rights reserved.

FinanceAsia has updated its subscription model.

Registered readers now have the opportunity to read 5 articles from our award-winning website for free.

To obtain unlimited access to our award-winning exclusive news and analysis, we offer subscription packages, including single user, team (2-10 users), or office-wide licences.

To help you and your colleagues access our proprietary content, please contact us at subscriptions@financeasia.com, or +(852) 2122 5222

Article limit is reached.

Hello! You have used up all of your free articles on FinanceAsia.

To obtain unlimited access to our award-winning exclusive news and analysis, we offer subscription packages, including single user, team (2-10 users), or office-wide licences. To help you and your colleagues access our proprietary content, please contact us at subscriptions@financeasia.com, or +(852) 2122 5222