1/4
According to People's Daily, in the first nine months of 2021 industrial profits for businesses with revenues of over RMB 20 million amounted to RMB 6.34 trillion, or roughly 7.6% of GDP.
en.people.cn/n3/2021/1027/c…
According to People's Daily, in the first nine months of 2021 industrial profits for businesses with revenues of over RMB 20 million amounted to RMB 6.34 trillion, or roughly 7.6% of GDP.
en.people.cn/n3/2021/1027/c…
2/4
In the past two years industrial profits have grown at nearly four times the pace of GDP (41.2% versus 10.5%), driving the industrial-profit share of GDP up substantially from what I calculate to be roughly 6.1% in 2019 (and 5.8% in 2020).
In the past two years industrial profits have grown at nearly four times the pace of GDP (41.2% versus 10.5%), driving the industrial-profit share of GDP up substantially from what I calculate to be roughly 6.1% in 2019 (and 5.8% in 2020).
3/4
Given that all GDP is distributed to households, businesses and government, soaring industrial profits on China seem to have been balanced mainly by lagging household income growth. Lower relative wages obviously can drive both.
Given that all GDP is distributed to households, businesses and government, soaring industrial profits on China seem to have been balanced mainly by lagging household income growth. Lower relative wages obviously can drive both.
4/4
While many may see soaring industrial profits as a good thing, I suspect an increasing number in Beijing see it as part of the worsening of China's income distribution.
While many may see soaring industrial profits as a good thing, I suspect an increasing number in Beijing see it as part of the worsening of China's income distribution.
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