# Shanghai GDP increases 13.3% in 2007



## BJSH (Apr 18, 2006)

Shanghai GDP increases 13.3% in 2007 


SHANGHAI'S gross domestic product rose 13.3 percent in 2007 — the 16th straight year the city's economy has expanded at more than 10 percent.

Gross domestic product reached 1.2 trillion yuan (US$167.2 billion) last year, the Shanghai Statistics Bureau announced this afternoon. 

The growth rate was 1.3 percentage points higher than in 2006, the bureau said.

The city's consumer price index, a main gauge of inflation, jumped 3.2 percent in 2007, powered by food prices, which climbed 9.4 percent last year, the bureau said.

The city's 2007 GDP per capita stood at US$8,594 in the local calculation method, said Pan Jianxin, director of Shanghai Bureau of Statistics.


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## Chrissib (Feb 9, 2008)

Still only half the GDP of our state, Hesse. Hesse has only 6 milliom inhabitants.


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## snow is red (May 7, 2007)

Shanghai GDP per capita was $ 7600 in 2006. So $8594 I believe is only for the growth alone, currency appreciation is not included.


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## ssiguy2 (Feb 19, 2005)

That's great news for Shanghai but the scheme of things it doesn't mean much for your average citizen. The rural Chinese who still make up 40% of the population are still impoverished and the gap between the rich and the poor in China, especially in the larger cities, is obscene. 
The GDP may have risen by 13% but that would be due to overall growth which in todays China means nearly all will go to its upper class. You can be damn sure that the average worker's pay didn't go up by 13%. If they did then its inflation rate sure as hell wouldn't be just 3%.


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## Jonesy55 (Jul 30, 2004)

What's the rate of population growth in Shanghai?


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## leo_sh (Oct 23, 2006)

Jonesy55 said:


> What's the rate of population growth in Shanghai?


The natural increase is actually minus - there is one-child policy and the Shanghaiese are quite law-abedian citizens. The same cannot be said about other cities and provinces.

Regarding the rural population mentioned in the above post, the wealth gap is not so clearly divided as urban vs rural. The farmers living in the outskirts of Shanghai and the neighboring provinces have a much higher income than the most inland urbanites. The most western press want to paint a simplistic black-and-white picture, which is fortunately not the ground reality.


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## Chrissib (Feb 9, 2008)

Jonesy55 said:


> What's the rate of population growth in Shanghai?


In the 90s it stood at about 2%, i think it continued that way until now.


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## binhai (Dec 22, 2006)

ssiguy2 said:


> That's great news for Shanghai but the scheme of things it doesn't mean much for your average citizen. The rural Chinese who still make up 40% of the population are still impoverished and the gap between the rich and the poor in China, especially in the larger cities, is obscene.
> The GDP may have risen by 13% but that would be due to overall growth which in todays China means nearly all will go to its upper class. You can be damn sure that the average worker's pay didn't go up by 13%. If they did then its inflation rate sure as hell wouldn't be just 3%.


Uh, actually worker's pay increases by over 10% a year. And high inflation is due to one time events such as diseased pigs, lowering the food supply and increasing prices (which will fall soon) and skyrocketing energy prices (petrol + other petroleum). China's situation is very good, and the temporary inflation will pass within 6 months. The GDP growth improves almost everyone, but of course as in every country, a higher proportion goes to the rich.


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## Adams3 (Mar 2, 2007)

ssiguy2 said:


> That's great news for Shanghai but the scheme of things it doesn't mean much for your average citizen. The rural Chinese who still make up 40% of the population are still impoverished and the gap between the rich and the poor in China, especially in the larger cities, is obscene.
> The GDP may have risen by 13% but that would be due to overall growth which in todays China means nearly all will go to its upper class. You can be damn sure that the average worker's pay didn't go up by 13%. If they did then its inflation rate sure as hell wouldn't be just 3%.


That's not true. Both farmers and urbanites have seen a vastly improved increase in personal income. At the start of the reforms at the end of the 70s, 75% of the Chinese population was considered extremely poor by the world bank standard, in 2004 it had dropped to about 14% and is still dropping rapidly. The increase in personal income in rural areas has been fast but the increase in urban areas has been extremely fast, so you see an increase in inequality.


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## carry_a_torch (Apr 30, 2005)

in 2008，Shanghai's GDP(nominal) per capita will surpass US$10,000.

so,Shanghai's GDP(PPP) per capita will surpass US$20,000 easily in 2008.


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## drunkenmunkey888 (Aug 13, 2005)

carry_a_torch said:


> in 2008，Shanghai's GDP(nominal) per capita will surpass US$10,000.
> 
> so,Shanghai's GDP(PPP) per capita will surpass US$20,000 easily in 2008.


According to wikipedia, Shanghai's PPP per capita surpassed 20,000 USD a long time ago. It had a PPP figure of 24,000 in 2004. If these figures are accurate, I wouldn't be surprised if PPP in 2008 exceed 30,000 USD.


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## leo_sh (Oct 23, 2006)

The actual effects of Shanghai PPP er capita are very complicated:
The basic food, though more expensive day by day, is still extremely cheap in comparison with the industrial countries. Electricity, water, and transport, are subsidized by the government to various degrees. The housing of the lower social classes is actually also heavily subsidized through the process of urban redevelopment and suburban land reclamation.
The underbelly of the data is that the car ownership is prohibitively expensive - a number plate alone costs 3000 usd equivalent plus; the food that is more than basic needs are close to the price in the industrial countries; the real estates that are outside the commie block are astronomically dear. As a country of confucian tradition, the free education provided by the government cannot meet the parents' expection. As underdeveloped country, a lot of vital medicine and medical services must be imported from the industrial countries, whose prices are often hyped up by the monopol Western companies and not covered by the public insurance.
All in all, it is not a hellish place but far from paradise.


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## mondechampion (Jan 20, 2008)

Amazing growth, if only all the developing world saw this growth!


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## drunkenmunkey888 (Aug 13, 2005)

leo_sh said:


> The actual effects of Shanghai PPP er capita are very complicated:
> The basic food, though more expensive day by day, is still extremely cheap in comparison with the industrial countries.
> The underbelly of the data is that the car ownership is prohibitively expensive - a number plate alone costs 3000 usd equivalent plus


About the car ownership problem, a while ago, I used to blame the government for imposing such high taxes on cars. But now I understand why and furthermore, I think its a good idea. With all of this transportation infrastructure, Shanghai is trying to make itself out to be a public transportation reliant, high density living environment similar to that of Hong Kong, New York, East Asia, and Western Europe. Currently, the public transportation is only approaching its middle stage in development so not many people will use it yet if those taxes aren't imposed, then Shanghainese residents might be tempted to over-rely on cars, which can be disastrous for a city of Shanghai's density. Its road and highways are built to similar specifications as other high density cities (3 lanes in one direction, narrow, etc.) so it would be unable to handle widespread car use

On the other hand, cities in Qinghai, Ningxia, Xinjiang, Gansu, or Inner Mongolia should invest in massive freeways because of their low density. It would be kind of cool to see China develop two distinct lifestyles in the east and west; a high-density public transportation reliant East Asian/Western European model in the east, and a low-density car-reliant suburban sprawl American/Australian/Canadian model in the west.


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## Peloso (May 17, 2006)

Chrissib said:


> Still only half the GDP of our state, Hesse. Hesse has only 6 milliom inhabitants.


...But probably the cost of life in Shanghai is way lower than that of Germany (except "luxury" commodities such as cars), i.e. the buying power in Shanghai is higher.


Adams3 said:


> At the start of the reforms at the end of the 70s, 75% of the Chinese population was considered extremely poor by the world bank standard, in 2004 it had dropped to about 14% and is still dropping rapidly. The increase in personal income in rural areas has been fast but the increase in urban areas has been extremely fast, so you see an increase in inequality.


...but the prices in Shanghai are higher than in the countryside, so such inequality is much tempered.


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## Chrissib (Feb 9, 2008)

mondechampion said:


> Amazing growth, if only all the developing world saw this growth!


Or even better, the developed world!:cheers:


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## Adams3 (Mar 2, 2007)

Peloso said:


> ...but the prices in Shanghai are higher than in the countryside, so such inequality is much tempered.


I'm talking about real growth in income, i.e. inflation-adjusted income growth. It's true that the cost of living in Shanghai is much higher, but the purchasing power among citizens is still way higher.


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## mondechampion (Jan 20, 2008)

Chrissib said:


> Still only half the GDP of our state, Hesse. Hesse has only 6 milliom inhabitants.


still it has only about 10 times (at least) the reputation of unknown hesse or hussy or whatever else.


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## mondechampion (Jan 20, 2008)

Chrissib said:


> Or even better, the developed world!:cheers:


nah that'd be worse young child.


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## Chrissib (Feb 9, 2008)

mondechampion said:


> still it has only about 10 times (at least) the reputation of unknown hesse or hussy or whatever else.


Depends on where you are. Hesse isn't as unknown as you think. It has got the financial center of the fourth biggest economy on earth. But I enjoy living in a country where there are other important cities besides the capital. In the most countries of the world there is the capital and the desert.


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## oliver999 (Aug 4, 2006)

luxuary goods are even more expensive than developed country due to high inport tax.but ordinary commodity and service is much much cheaper than western countries.


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## The Cebuano Exultor (Aug 1, 2005)

*@ [anyone/everyone]*

With this type of growth, Shanghai will be the largest metropolitan economy in the world by 2025. :yes:


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## snow is red (May 7, 2007)

ssiguy2 said:


> That's great news for Shanghai but the scheme of things it doesn't mean much for your average citizen. The rural Chinese who still make up 40% of the population are still impoverished and the gap between the rich and the poor in China, especially in the larger cities, is obscene.
> The GDP may have risen by 13% but that would be due to overall growth which in todays China means nearly all will go to its upper class. You can be damn sure that the average worker's pay didn't go up by 13%. If they did then its inflation rate sure as hell wouldn't be just 3%.




This post hardly makes any sense to me, so income rise causes inflation rise ? :nuts:


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## YelloPerilo (Oct 17, 2003)

Chrissib said:


> Depends on where you are. Hesse isn't as unknown as you think. It has got the financial center of the fourth biggest economy on earth. But I enjoy living in a country where there are other important cities besides the capital. In the most countries of the world there is the capital and the desert.



Neither New York nor Shanghai or Hongkong are capitals of their respective countries. So, what are you talking about?


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## mondechampion (Jan 20, 2008)

Chrissib said:


> Depends on where you are. Hesse isn't as unknown as you think. It has got the financial center of the fourth biggest economy on earth. But I enjoy living in a country where there are other important cities besides the capital. In the most countries of the world there is the capital and the desert.


financial centre of sixth largest economy happens to be the largest financial centre in the world.:lol: your example means nothing. 

financila centre of fourth largest economy in world isn't that important a financial centre on global scale.


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## mondechampion (Jan 20, 2008)

^yelloperil, go easy on the young child. he is saying, he is ignorant.


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## Chrissib (Feb 9, 2008)

YelloPerilo said:


> Neither New York nor Shanghai or Hongkong are capitals of their respective countries. So, what are you talking about?


These are a few exceptions.


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## Chrissib (Feb 9, 2008)

mondechampion said:


> ^yelloperil, go easy on the young child. he is saying, he is ignorant.


Just shut up, OK!


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## shadyunltd (May 1, 2006)

The Cebuano Exultor said:


> With this type of growth, Shanghai will be the largest metropolitan economy in the world by 2025. :yes:


Mmm, not quite.


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## einwelteinfuhrer (Jan 17, 2008)

^^It'll be greater than any cities' economy of today.


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## asif iqbal (Sep 3, 2006)

How does that compare with Beijing? Which one is bigger in terms of GDP?


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## Lightness (Nov 3, 2006)

02tonyl said:


> This post hardly makes any sense to me, so income rise causes inflation rise ? :nuts:


Usually sharp rises in income would ultimately cause inflation. In China the income rise has been matched by a similar rise in productivity though, so won't necessarily result in inflation.


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## snow is red (May 7, 2007)

asif iqbal said:


> How does that compare with Beijing? Which one is bigger in terms of GDP?


Beijing's GDP in 2007 was 900 billions Yuan with an annual growth rate of 12% since 2002


http://www.chinadaily.com.cn/bizchina/2008-03/08/content_6519357.htm


7.1 yuan = $1


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## asif iqbal (Sep 3, 2006)

02tonyl said:


> Beijing's GDP in 2007 was 900 billions Yuan with an annual growth rate of 12% since 2002
> 
> 
> http://www.chinadaily.com.cn/bizchina/2008-03/08/content_6519357.htm
> ...


Thanks


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