And The World’s ‘Most Powerful’ Nation Is … Hint, NOT USA …

“The China Bubble”


And The World’s “Most Powerful” Nation Is… (ZeroHedge, April 5, 2014):

In terms of economic might, BBVA has created an index of “world market power” enabling an at-a-glance view of a nation’s impact on the global economy via relevance of exports, exposure to external shocks, technological content, and retained value-added. And the winner is… Hint, not USA…

As BBVA sums up,

China shows the highest value not only among emerging economies but also when considering all the sample, inverting with the US the rank order given by the exports’ share in nominal terms.

China holds the largest share among emerging markets in the sample for 9 out of 18 industries, including all manufacturing groups except food (surpassed by Brazil). The largest industry share corresponds to textiles and leather (above 30%).

Russia and especially Saudi Arabia are well ahead in the ranking due to their key role in the oil market for which they show a high degree of product concentration.

India and Mexico have a similar share of world exports, although the market power index is significantly higher for the former on dominant positions in ‘other manufactures’ and business services.

World-Market-Power-Index

On a side note, as Constantin Gurdgiev notes, three out of current G7 states should not be anywhere near G7. You might argue about Saudi Arabia’s place in the world’s ‘power by exports’ rankings, but China and Russia certainly are diversified enough and have a strong enough sway to be in G7.

BBVA’s Full Report below:

140402_EW_exports_tcm348-438276

1 thought on “And The World’s ‘Most Powerful’ Nation Is … Hint, NOT USA …

  1. I agree Russia is the one moving ahead quickly. I don’t believe China is the #1 economy. All of their so-called economy is predicated upon exports, and their lies about the amounts sold are too many to enumerate.

    Many of their trading partners have come out with importing numbers far lower than claimed by China. This isn’t just one or two episodes, it is continuous. The way they calculate their GDP is based on what they build, not what they produce and sell.

    China has many beautiful towns they have built over the past five years. Only one problem, the people cannot afford to live there, so they are now known as ghost towns.
    They built the world’s largest building, complete with an artificial seashore…..over 100 miles from water. Downstairs are set up with waterfalls, and beautiful spaces for shops, upstairs, there is space for luxury offices and living. Again, it is nearly empty.
    Saying something over and over does not make a falsehood truth. Nobody has any money except for those getting no bid contracts from the Chinese government……does that sound familiar?

    There are uprising in the hundreds every day, unemployment is very high, opportunity very low……the totalitarian government shuts down the Internet and TV until they have the riots under control.

    The very rich Chinese are leaving for better living conditions. The air is as bad as London in 1850 when the coal dust and smoke made it impossible to tell if it were day or night.

    Until 2007, the US was the major customer for China. After Americans started cutting back, the EU became #1. Now that the EU is suffering, so is China. Even greedy gut corporations are moving MFG to other countries where the labor is cheaper. Also, the US prison industrial complex has made the US labor pool very competitive with slave labor nations…….and the US gives the greedy guts big tax breaks for using convicts. Tough to beat 70 cents a day.

    I could go on with more examples, but don’t buy into the fantasy China is #1. They adopted the worst qualities of the west, excessive borrowing and gambling, throw away elderly, no more extended families. Medical care is equal to the US, if you have money, you get care, if you don’t, hurry up and die.

    When they sink, so goes the rest of the world economy.

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