[Marxism] Lenin's Tomb on the Stockmarket

jk68 jkayo68 at gmail.com
Sun Aug 19 08:27:43 MDT 2007


On 8/18/07, Tom O'Lincoln <suarsos at alphalink.com.au> wrote:

> But the last bit has two sides, and at this point it still seems to me the
> more important side is the dramatic growth of the Chinese economy. An
> economic doomsday scenario should have something to say about that. Is it
> going to stop? No mention of China in this article,

But hasn't the growth in China been hugely dependent on foreign
investment and export (dependent on demand from the US domestic
market)? And if the US economy was to experience a serious crisis that
significantly curtailed foreign investment and domestic consumption,
could this throw China into economic turmoil? The recent
Hart-Landsberg and Burkett article in the May MR addresses this:

"Another consequence is that China's economic growth has become
increasingly dependent on foreign produced exports. Approximately 46
percent of foreign manufacturing production is exported, compared with
only 16 percent for domestically owned manufacturing firms. Foreign
firms now dominate China's export activity; their share of China's
exports grew from 2 percent in 1985, to 30 percent in 1995, and 57
percent in 2004. As a result of these trends, the ratio of exports to
GDP has steadily climbed from 16 percent in 1990 to 36 percent in
2003.5

"Numerous studies have found that the contribution made by
transnational corporations to China's growth is substantial and
increasing over time. For example, an analysis published by the
National Bureau of Economic Research concluded that approximately 30
percent of China's growth over the period 1995–2004 was due to
transnational corporate activity, with the foreign contribution rising
to over 40 percent in 2003 and 2004.6"

full: http://www.monthlyreview.org/0507mhlpb.htm




More information about the Marxism mailing list