STOCK MARKET WATCH -- Monday, 8 September 2014

[xchrom]

10. The World's Largest Economies Are Concerned About A Collapse In The Chinese Housing Market

http://www.businessinsider.com/concern-about-a-collapse-in-chinas-housing-market-2014-9

After a decade of riding on the back of China with little concern about falling off, recent data has many economists worried that the ride is about to get much bumpier.
It’s perhaps not surprising that China is important not just to Australia’s economy, but the whole world’s. But just how important it has become is surprising.

Back at the start of this century the Chinese economy was around 11% the size of the US; now it is nearly 60% the size of the US. But despite that massive growth, it wasn’t until 2007 that China became more important than the US to world economic growth.

Before 2007, the US was easily the biggest contributor to the growth of the world’s economy. In 2004, for example, the world economy grew by 12.8% (nominal terms) to which the US contributed two percentage points. By way of context, the UK and Japan that year contributed 0.9 percentage points, France 0.7 and Germany 0.8. China also contributed 0.8 percentage points.



Read more: http://www.businessinsider.com/concern-about-a-collapse-in-chinas-housing-market-2014-9#ixzz3CiaX5kyw