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Main » 2015 » October » 27 » News, weather, economy: Transparency, right and talents. What is missing to China?
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News, weather, economy: Transparency, right and talents. What is missing to China?
 
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China is not as cool as he wants to seem. And how many are accustomed to think, watching the record growth in the last decade - based on AMarkets. 
The economy of China there are systemic risks that could lead to a big accident in the future. Let's talk about them.

 

AMarkets

 

* Not transparency

Almost all emerging economies flourishing of sin bureaucratic arbitrariness, which prevents business to grow beyond a certain bar. China obviously need a strong legal system, is protected from the tyranny of the political elite. Studies show Conceptualizing Capitalism, the maximum GDP Nam is present only in those countries where the government is transparent and low levels of corruption. China is far from it.

 

* Problems with the rights to land and property

All of China's population can be roughly divided into residents proud and villages. The Chinese urban residence permit more opportunities, better education, more comfortable access to quality health care. It's almost like two universes. Dissimilar. Everything would not be so bad if the farmers can use the land and earn it. But often illegally confiscated land through bribery municipalities businessmen.

 

* Few local talent

In China, many small firms, but few private large and medium enterprises. For example, of the top 10 companies, exporting high-tech products from China, nine are of foreign origin - foreign players profitable to work in China for tax reasons. If you subtract foreign players, and to take into account only the Chinese, you have to subtract and the most efficient and innovative company, which, alas, belong to foreigners.

 

 

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