Beijing, China – The Chinese economy seemed to be booming back in 2009 when the US and European markets were struggling to stay afloat. They appeared, on the surface, to be thriving in a down global market. Now, after fighting against their own conditions for nearly the past 3 years, China’s economy is starting to waver. Just like the bubble that burst in the American economy, China has seen a major slide in the real estate market. Additionally, many of China’s manufacturing facilities are struggling to find work.
Chinese Economy Scrambles To Find Foothold In Falling Market
Prices for common goods rose in February on average in China. After almost a 2% consumer inflation rate in just 1 month, many in the country are beginning to worry. The rise in the cost of good seems to be attributed mostly to manufacturers seeking a higher profit margin on goods sold, due to the decrease in overall demand and volume. The reality of the matter is that these same manufacturers are making the products at lower and lower prices in this less competitive market, but they still need every penny they can get to maintain their heads above water.
All drowning puns aside, The Chinese government has been looked to for some time to help generate some solutions to the countries growing problems. Thanks in part to the scale of the Chinese economy, they are maintaining their stance in the global marketplace. Only time will tell what short term fate lies ahead for their economy.
The average household has suffered financial setbacks in China, first with the loss of income and the scarcity of work being experienced lately, and also with the rapid decline in buying power that the average Chinese person is experiencing at the market. Even the most basic necessities like fresh produce and other foods have seen major price increases at the stores.
Chinese Economy Scrambles To Find Foothold In Falling Market.