As soon as I know the stimulus package from the central government I had a similar thought, but I had not time for discussions those days. Inmediately after the G20 summit in Washington, we had a discussion about this topic with our boss.
The is a first reason to dismiss it, but a further reson to see the real meaning of the whole plan, central plus local governments. This package, as the central government package, is a multi-year budget and mostly (70%-80%) based on projects that are in progress already as a consequence of the former Peoples Congress this year related to the aim of the harmonious society in 2020. Somehow, we could say that the announcement is 70%-80% propaganda. That was my initial thought. But we have to watch at the marginal investment, the other 20%-30%. They are mostly funds that will go to areas where return on investment are not "the right decission" in economic terms but are mandatory in human terms. I made a video to tell that this crisis would be paid by the poorest among the poor, remote rural areas, lowest economic classes, etc. I should, but I did not, tell "unless we take policies for social inclusion". We will not reach the harmonious society in 2020 unless we make those investments now, in the middle of a huge crisis, and addressed exactly where they are addressed to the poorest among the poor, in social terms and in geographic terms. We will not gain much, but we will not lose years losing what we gained last decades. It is a huge investment by local governments, but local governments have much more funds that the central government. It is time for redistribution of wealth. For example, if Beijing, Shanghai and Guangdong have to pay alone the whole high speed railway Beijing- Shanghai-Shenzhen and the areas in-between pay nothing that is fine, probably, amid this crisis, is the only way to make that railway real. If not, the project could be delayed due to difficulties of the lesses developed areasareas in between. Also, it is important not just for China, also for countries in the neighbourhood. Yunan will play a crucial role in the development of the continental ASEAN countries (Myanmar, Thailand, Laos, Vietnam, etc.) and in trade China-Asean-India. It will be the main connection between the future two larger economies, China and India, and probably the thrid area, Asean. Without huge investmnets in Yunan now, we could lose years or even a decade. Yunan (combined with the trans-Himalaya railway to Nepal) will connect 50% of the total population under the heaven. Its railways, roads and power supply plants should not suffer a delay because of a crisis. That 20%-30% is required to avoid the difficulties that some provinces will suffer because of this crisis. Peace and best wishes. Xi antidefm wrote: > http://www.youtube.com/watch?v=bLDILgN1qlA > > The four trillion Yuan (US$586B) stimulus plan from the China > government is already very impressive enough. > > But, do you believe another 10 trillion Yuan stimulus plans from the > "local governments", that is US$1.46 trillion?! I am not too sure > that these local governments know how large the amount of money they > are talking about?! > > Any comment? --~--~---------~--~----~------------~-------~--~----~ You received this message because you are subscribed to the Google Groups "World-thread" group. To post to this group, send email to [email protected] To unsubscribe from this group, send email to [EMAIL PROTECTED] For more options, visit this group at http://groups.google.com/group/world-thread?hl=en -~----------~----~----~----~------~----~------~--~---
