The financial media's coverage of China tends to focus on trade-related
topics such as U.S.
demands that China revalue the yuan, or the recent
48% rise in Chinese exports.
But to really get a handle on the possible risks and opportunities in
China, investors need to keep track of powerful cultural and governance
trends that could dramatically alter the financial and economic
landscape in the years ahead.
Here are four longer-term trends that will change China, significantly
affecting the finances of both its residents and trading partners in
potentially unpredictable ways.
1. The Rise of the Labor Movement
Strikes at Honda Motor plants and unrest at tech manufacturing giant
Foxconn are not isolated incidents, but rather examples of the growth of
a new
labor movement in China that seeks higher wages, better working
conditions and meaningful respect for labor laws. Whereas in the past,
the government's security forces broke up labor demonstrations, the new
migrant workers know their rights and are tech-savvy, making use of
China's 787 million mobile phones to send text messages about
demonstrations and labor-law rights.
To read the full, original article click on this link: Four Trends That Will Change China's Financial Future -- and the World Economy - DailyFinance
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