With the Olympics Looming, Inflation Stands in Its Way

April 1st, 2008

Submitted By: Matt Sprecher

As the Olympics near and China continues it’s push towards economic prowess, a road block has appeared in the form of inflation. In a recent New York Times article, China’s recent inflation hike is analyzed to uncover the cause for distress within the Chinese government. With the Olympics less than half a year away the eyes of the nation have switched from the games in Beijing, to the potential political backlash coming from the lower class citizens of the country:

”I’m concerned that there will be demonstrations. The government must recognize this,” said Robert Broadfoot, managing director of Political and Economic Risk Consultancy Ltd. in Hong Kong.

With all the sub par conditions that exist within the poor farm communities this inflation has created a new world of concerns. Throughout this article Chinese officials and others concerned with the situation give insight in to how this problem may be fixed. One person comments that it will stay high, in light of the recent crop troubles caused by the terrible storm of recent months. What do you feel is the way for China to get over this small speed bump? Will this all just iron itself out, or does the government have to start worrying protesting from lower class citizens? Could this be the straw that breaks the camels back human right’s wise? How will this affect the Olympics? Lots to think about, lots to discuss. Any thoughts?

Entry Filed under: Pre-Departure, Beijing, China, Misc.

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