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China’s rapid growth is feeding growing concern that its economy may be faced with a crisis of overproduction. In an article published in the 21st Century Business Herald, Wang Jian, Deputy Secretary General of the China Macro-Economic Society, gives an upbeat analysis. His main ideas follow: In 2005, the investment rate in China went up to 43.3 percent, while that of consumption dropped to 38.2 percent. In the first quarter of this year, the investment volume rose 27.7 percent, double the rate of increase in consumption. The gap between
China’s rapid growth is feeding growing concern that its economy may be faced with a crisis of overproduction. In an article published in the 21st Century Business Herald, Wang Jian, Deputy Secretary General of the China Macro-Economic Society, gives an upbeat analysis. His main ideas follow: In 2005, the investment rate in China went up to 43.3 percent while that of consumption dropped to 38.2 percent. In the first quarter of this year, the investment volume rose 27.7 percent, double the rate of increase in consumption. The gap between