America & Europe to Benefit from China's Maturing Economy
The pace of Chinese economic growth is slowing and wages are increasing. As the economy matures, transitioning to service industries and importing more goods, the West stands to gain.
What's the Latest Development?
China's breakneck pace of economic growth, in which GDP increased at about 10% annually over the last three decades, is expecting to chart a more modest path of 7% to 8% growth in the years ahead, according to senior government researchers. But because the number of farm workers ready to head to city factories is no longer growing rapidly, companies have struggled fill new employment positions. "The size of the workforce has plateaued, demographers say, and will start to shrink in the middle of the decade, intensifying competition for workers."
What's the Big Idea?
As the Chinese economy has grown, so have the wages of its workers. The rate of increase is so steep that, when factoring in productivity differences, China's wages could grow above Mexico's this year, according to the Boston Consulting Group. As a result, domestic demand is expected to account for more of China's future growth. "The main beneficiaries of China's rapid growth so far have been commodity exporters like iron ore-rich Australia and manufacturers of advanced machinery like Germany. In the future, producers of high-end consumer goods in the U.S. and Europe could enjoy more of the benefits."
Photo credit: Shutterstock.com
Upvote/downvote each of the videos below!
As you vote, keep in mind that we are looking for a winner with the most engaging social venture pitch - an idea you would want to invest in.
Here are 7 often-overlooked World Heritage Sites, each with its own history.
- UNESCO World Heritage Sites are locations of high value to humanity, either for their cultural, historical, or natural significance.
- Some are even designated as World Heritage Sites because humans don't go there at all, while others have felt the effects of too much human influence.
- These 7 UNESCO World Heritage Sites each represent an overlooked or at-risk facet of humanity's collective cultural heritage.
An innovation may lead to lifelike evolving machines.
- Scientists at Cornell University devise a material with 3 key traits of life.
- The goal for the researchers is not to create life but lifelike machines.
- The researchers were able to program metabolism into the material's DNA.
A new method promises to capture an elusive dark world particle.
- Scientists working on the Large Hadron Collider (LHC) devised a method for trapping dark matter particles.
- Dark matter is estimated to take up 26.8% of all matter in the Universe.
- The researchers will be able to try their approach in 2021, when the LHC goes back online.
SMARTER FASTER trademarks owned by The Big Think, Inc. All rights reserved.