China’s Incredible Shrinking Economy
The World Bank recently set off a firestorm of debate by announcing that the Chinese and Indian economies are 40% smaller than previously estimated. But when the dust settles, the new data may be less revolutionary than some people believe, and may cool the heated rhetoric about China's supposedly undervalued currency.
ITHACA, NY -- The World Bank recently announced that the Chinese and Indian economies are 40% smaller than previously estimated. Since these are the fastest-growing large economies, the Bank’s revision has clipped half a percentage point off world growth over the last five years, according to the IMF.