Hey, but don’t worry. We can trust them on the numbers when it comes to Coronavirus.
Why does China overvalue its GDP? by Salvatore Babones Key point: Shave off a little growth every year for the last dozen years ago, and the cumulative effect is that China is now overstating its true GDP by nearly 20 percent. China’s economy isn’t what it used to be (at least as recently as last week). Four intrepid economists—Wei Chen, Xilu Chen and Michael Song of the Chinese University of Hong Kong, along with Chang-Tai Hsieh of the University of Chicago—have taken a fine-toothed comb to Chinese economic data to try to tease out China’s true rate of economic growth since 2008. Not surprisingly, they found that China has been over-reporting its growth rate by an average of 1.7 percentage points every year. Report Advertisement Shave off a little growth every year for the last dozen years ago, and the cumulative effect is that China is now overstating its true GDP by nearly 20 percent.
Surprise: China’s Economy Is Smaller Than You Think | The National Interest
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