Matthews Asia: Key Questions For China Investors In 2015 [Part II]

Key Questions For China Investors In 2015 [Part II] by Andy Rothman, Matthews Asia

China is complicated and raises many questions for investors. On the one hand, China’s economy is growing more slowly at 7.4% last year, compared to 7.7% for the two prior years. On the other hand, because the base was far larger last year, the incremental increase to the size of the economy was 100% greater than the increase a decade ago, when GDP rose 10%. This is why the International Monetary Fund estimates that China accounted for almost one-third of global growth last year. With inflation-adjusted income up about 7% in China, compared to 2% in the U.S., consumer spending is booming, up 11%...