Follow us on TWITTER: http://twitter.com/cnforbiddennews Like us on FACEBOOK: http://www.facebook.com/chinaforbiddennews Many economists are talking about China's economic hard landing, and ongoing economic crisis. China's Statistic Bureau said that in the first half of the year GDP grew 7.6%. However, this data is questioned by economists. They say, it does not explain the recent problems of cash shortage, inflation, the unemployment rate and cash outflow. In addition, it doesn't comply with stock market and house price's decline. It also flies in the face of Premier Li Keqiang's Economic plan. On July15, China's Statistics Bureau data shows that in the first half of the year GDP's absolute value reading of 24.8 trillion yuan (US$4 trillion), increased 7.6%. The 2nd quarter GDP growth slowed to 7.5%. Xie Tian, professor at Aiken Business School of the University of South Carolina:"The data isn't reliable. The CCP's created surplus flourish doesn't tally with recent cash shortage, inflation, unemployment, cash outflow, stock market and housing market problems. The CCP made up a false GDP, other factors and indicators do not match with it." Feng Xingyuan, deputy director of Beijing Unirule Institute of Economics told NTD that a financial crisis has already started in some areas of China. Financial Times editor Xu Jin published an article stating that China's falling economic growth is common knowledge. How much of this can Beijing take? it's unclear. Li Keqiang's worries are unlikely to clear up just by increasing the popular of his economic plan. Li Keqiang pledged to shrink the governmental administrative overload, allowing the market to play a full role, discarding outdated production methods, and verify the correct GDP, in order to produce a healthy economic growth. Wu Yuyin, research fellow of Chung-Hua Institution for Economic Researcher: "One major drawback in Li Keqiang's economic plan is that there is no economic stimulus. Just let it grow. Growth will decrease faster, the very opposite of past patterns, one rising, one shrinking. It will slowdown greatly. According to the latest data, this didn't decline too much, That's why we doubt it." On July 9, the data for the Producer Price Index shows (PPI), PPI dropped 2.7%, declining for 16 consecutive months; while the Consumer Price Index (CPI) is rising . These trends do not meet the price transmission rules. On July 1, the latest data shows Manufacturing Purchasing Managers Index (PMI) dropped to 50.1, the lowest level in the last 4 months. On the same day, HSBC's PMI dropped to 48.2. That is below the cut-off level of 50 that divides expansion from contraction, the lowest in the last 9 months. On July 10, China's trading data shows exports and imports both dropped in June. Exports fell 3.1% and imports fell 0.7%. Earlier economists have pointed out that China's fixed assets investment is seriously imbalanced. Local debt has greatly accumulated, facing substantial risk of breaching the contract. It has dragged down investment, consumption and exports. Yet domestic consumption is increasingly worsening each year. Xie Tian:"The CCP systematically increases statistical numbers, or doctor the figures. From the false data I can analyze some of the trends. We can tell from the latest trends, the CCP has had to admit that China's financial crisis is already happening, we actually talked about it two months ago." Xia Bin, Counselor of China's State Council said that actually China's economic crisis already exists. What's the reason it hasn't detonated yet? Because the bad debt is not exposed, it is covered up by producing more currency. Xia Bin said that if China's economy is not dealt with now, sooner or later something severe will happen. But, if interfered with too drastically the bad thing will happen immediately. On July 11, Lou Jiwei, Minister of Finance said in an interview in Washington that the authorities this year can accept GDP slowed 6.5%. Lou added that, they expected GDP's growth will drop to 7%. Xie Tian: "One possibility is that the current decision-makers do not want to take the blame for the former leaders. Under pressure from the outside world, China's true economy is gradually being exposed, so that they can distance themselves from the former leaders." On July 13, the CCP mouthpiece Xinhua News Agency published an English article; Lou's saying that the GDP growth of 7%, was modified to 7.5%, so as to match the figure that was officially released. Xie Tian:"If the CCP completely exposed its true economy, people will be surprised and shocked. It may trigger a political crisis and instability. 《神韵》2013世界巡演新亮点 http://www.ShenYunPerformingArts.org/

• published: 18 Jul 2013
• views: 71