China Outlines Ambitious Plan for Stimulus

[Pirate Smile]

Source: The New York Times


The opening ceremony of the Chinese People’s Political Consultative Conference at the Great Hall of the People in Beijing on Tuesday.

By MICHAEL WINES
Published: March 4, 2009
BEIJING — Warning that China faces “unprecedented difficulties and challenges,” Prime Minister Wen Jiabao outlined a barrage of construction, increased subsidies and economic measures on Thursday aimed at continuing his nation’s modernization despite a world financial crisis.

He also indicated that China’s leaders would seek to begin a fundamental shift in their economic strategy by encouraging citizens to spend and consume more goods, as in most Western economies. China’s startling growth has been driven so far by exports and abundant spending on roads, dams and other infrastructure projects, a trend that experts say cannot be sustained in the long term.

But in a long speech to the National People’s Congress, China’s legislature, Mr. Wen did not explicitly announce any new spending to combat the financial crisis beyond the $585 billion that China committed to spend in November.

China’s stock market rose about 6 percent on Wednesday, and other global markets also advanced, on speculation that Mr. Wen would announce still more economic stimulus spending.



Read more: http://www.nytimes.com/2009/03/05/world/asia/05china.html?hp

[davidinalameda]

1. and Americans buying cheap plastic crap is funding these projects

good work!

[David__77]

2. Best wishes to China.

I hope their economy continues to grow at a rapid pace. They are having to move from intensive to extensive economic growth - a difficult transition. I think they will succeed though.