Asian Inflation

Center for Asian Democracy
It worries me to hear about China's newest news regarding their 2006 economic numbers. They seem to be putting most of the support for such good numbers on the government spending that has helped Asian business grow. By the government spending so much money on its infustructure it has increased its actual economic numbers but now may be seeing the real results of their economy as infustructure spending can only include so much. Roads do not need fixed every year. I feel that China government may have maid a mistake spending so much in the last ten years. If they had spread out their spending their numbers would have been lower but they would have a longer effect which is better for the coutry overall. I think China wants to prove to everybody that their coutry is the best and these numbers may be a result of these wants.n But i fear that in the long run all this will do is cause a devestating recesion to their economy. I hope this is not the case as this would cause problems for the entire world. The goods that they produce and export will start to cost more which would result in higher prices in other countries. Hopefully they will continue to grow or if there is a problem on the horizon they can fix it without any major hiccups for China, and the rest of the world.