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China Investment
The economy of the People's Republic of China is the fourth largest in the world when measured by nominal GDP. Its per capita GDP in 2005 was approximately US $1,709 (US $7,204 with PPP), still low by world standards, but rising rapidly. As of 2005, 70% of China's GDP is in the private sector. The smaller public sector is dominated by about 200 large state enterprises concentrated mostly in utilities, heavy industries, and energy resources.
Since 1978 the People's Republic of China (PRC) government has been reforming its economy from a Soviet-style centrally planned economy to a more market-oriented economy but still within the political framework, provided by the Communist Party of China. This system has been called "Socialism with Chinese characteristics" and is one type of mixed economy. These reforms started since 1978 has helped lift millions of people out of poverty, bringing the poverty rate down from 53% of population in 1981 to 8% by 2001.
2008 Beijing Olympic Games and 2010 Shanghai World Expo are big helpers to further boost Chinese economy and attract more foreign investment. Now the mutual fund managers in the US are adding more and more Chinese companies into their portfolio so that they will not miss this fast-growing market.
With the appreciation of Chinese yuan currency, it makes more sense to invest in China. According to the latest financial news, by 2010, China will surpass the US to become the world's largest high speed internet market. China is now already the largest mobile phone market.
A joke in China is about two friends meeting together. One made fun of the other one by saying "Didn't you make any money?" after he saw the other one was still using a cell phone from last year. Now China is manufacturing everything from the toys to space rockets.
Unlike Japan, Chinese's now are spending. They are buying luxury items such as houses, cars, plasma TV and etc. They are traveling around the world. As a matter of fact, a couple dozen of countries have opened their borders to attract Chinese tourists to visit.