Global Implications of a Slowing Chinese Economy
A cargo ship loaded with containers is seen anchored at a port in Qingdao, Shandong province July 10, 2013. China’s exports in June declined 3.1 percent from a year earlier. Picture taken July 10, 2013. To match Analysis CHINA-EXPORTS/ REUTERS/China Daily (CHINA – Tags: BUSINESS MARITIME) CHINA OUT. NO COMMERCIAL OR EDITORIAL SALES IN CHINA – RTX11KJX
China’s economy is slowing down. Or, to be more specific, China’s economy continues to roar along, by western standards, but has come down from it’s blistering growth of recent years.
China’s economy still grew by 7.5 percent between April and June. That’s more than 5 percent better than the American economy.
Economist Derek Scissors follows China with The Heritage Foundation, a conservative Washington think tank.
Scissors argues that China’s economy is now slowing because of its response to the financial crisis of 2009. That’s when the American economy was going into a tailspin, and US consumers were buying fewer Chinese exports.
Scissors told The World’s Marco Werman that if Chinese officials can reform their economic system, it can open the door for more American businesses to sell products into China.
“If you allow more competition it opens the door to more foreign firms including American,” Scissors said.