|Do China's Exports' Figures Really Add up?|
|by Tom McGregor||Mon, Mar 11, 2013, 09:30 PM|
BEIJING: I'll admit that I don't have a PhD. In statistics, but China's exports numbers for February appear somewhat inflated to say the least. China's exports allegedly climbed over 21 percent compared with February from a year ago, but how is that possible?
First of all, there were 29 days in February 2012 compared with 28 days in Feb. 2013. Additionally, China celebrated its Spring Festival in January 2012, but this year’s annual celebration occurred in February. That means there was at least 1 week of minimal domestic economic activity and another week or two of less than full-capacity nationwide economic activity as the labor force travelled to and from their family hometowns.
Meanwhile, if these figures are indeed true and that would imply exports for February 2012 were disastrous, and if so, how did China achieve over 7.3% GDP growth last year? China is an export-driven economy.
According to the Irish Times, "China's exports soared past forecasts in February to jump one fifth higher than a year ago, a sign the country’s modest economic revival is intact and suggesting global demand may also be on the mend."
Nonetheless, China's recovery remains fragile due to a weak world economy. Chinese imports had been surprisingly poor, dropping 15.2 percent from a year earlier to 13-month lows, customs data disclosed recently.
To read the entire article from the Irish Times, link here:
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