China’s economy after the Olympics

Despite an economic slowdown, China can still say its experienced annual double digit growth. But China also has to provide for 30 million new jobs each year, which is a mind boggling idea for any other country. this economist says the unofficial employment rate, which is more accurate than the official one, is double digits. Stability is a top priority for the Chinese government and the state run media says the government is now considering a $54 billion economic stimulus plan that would both cut taxes and increase government spending. This economist says the goal would be to keep economic growth up and do something about the growing problems within the Chinese economy. Migrant workers are becoming more picky about what work they do and how much they get paid, and businesses are running out of cheap land on which to build factories. All this and China’s strengthening economy is making inflation on the production side start to rise. This economist says the government’s biggest challenge is to control inflation and keep it down. China’s leaders realize there’s no room for complacency.