Monthly Archives: November 2013

china’s smoggy economic miracle

I apologize for my recent lack of posts. I’ve been travelling a lot this past month. I just got back from ten days in China, where I visited with the chief financial officers of eight companies in Beijing, Shanghai, and Hong Kong. Their businesses ranged from solar panel manufacturing to construction to internet retailing. Aside from some minor language barriers, the meetings were all more or less identical to the thousands I’ve participated in here in United States–that is, they were straightforward, rather sleep-inducing discussions of things like cash flows, production capacities, and earnings forecasts. You can talk all you want about free trade and laissez faire government policies. In my opinion, the true indicator of a country’s commitment to a market economy is how professionally boring its corporate CFO’s are. By that metric, China might be even more capitalist than we are by now.

My last trip to China was six years ago, and its economic vitality hasn’t abated at all since then. Construction cranes still fill the horizon in every city, and traffic in Beijing and Shanghai made rush hour in Manhattan look like a Sunday drive. I think every American should go over there at least once to see what true growth looks like–both the good and the bad of it. I’d like to say I worked in some time to see the sights, but that would have been impossible, not just because my schedule was so busy, but because my eyes were burning from all the smog. The only “sight” you see most days is a thick brown haze that hangs over China’s cities like something straight out of a Dickens novel.

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