Originally posted by Frosty
This has been discussed before: drop in oil consumption=drop in energy consumption. So therefore: Drop in energy=high GDP growth rate=China lies about
its economy, they are not growing.
Do some research on resource companies and call up a few of thier reps and they will confirm that the majority of groth in that sector is due to
Chinese and Indian demand. One Quater doesn't start a trend, I would like to see 10 or more quaters like this as allot of resources from Copper to
Concrete is in short supply these days(eg Not good for Inflation), Hell one of my holdings in my portfolio tripled due to Southeast Asian
demand(Potash corp of Sask. vital for thier "green" revolution)
China cannot lie about how much it's growing as it's just as much apart of the Global Economy as more "free" nations are these days.
Hell if you want too see how much they have "progressed" just go to one of thier cities and choke on the smog from the many many cars and dirty coal
Also China isn't just buying oil to provide it's people with energy, they are starting to hoard it in giagantic strategic reserves, they plan on
having the largest reserve in the world because they know whats coming just as every other leader knows, the peak.