For the first time in a decade growth of luxury goods in China has stalled, as inflation is larger than the recorder growth, says China’s rich list founder Rupert Hoogewerf, and composer of the China Luxury Goods Price Index in the Shanghai Daily. Causes: the fight against corruption and the economic downturn.
Author Shaun Rein of “The End of Cheap China: Economic and Cultural Trends that will Disrupt the World” hits the famous Dylan Ratigan show on his book tour in the US and explains how pollution and food safety haunt Chinese citizens more than a regime change. US consumers will have to pay higher prices.
Your espresso and your hamburger will become more expensive. Those are two of the ten changes the end of cheap China means for you, author Shaun Rein spells out in Forbes. Those changes “are threatening the easy availability of the low-priced goods that have fueled Americans’ consumption-led lifestyle.”
In a surprise move China’s financial authorities decided last week to abandon their tight money lending policy and losend the reigns for its banks again. Wrong policy, says business analyst Shaun Rein in CNBC, who has been praising the government handling of inflation and overspending in the past.