Fool's Mountain: Blogging for China

I have expected some major efforts by the Chinese government to encourage internal economic development and consumption in the face of the global meltdown. In particular, I thought it would be the time to spread the benefits of infrastructure and its followup development to areas beyond the coastal areas. Nevertheless, I am surprised about the scale of stimulus package announced by Beijing. $586 billion is on a par with the $700 billion financial rescue plan passed in the U.S. But in terms of relative size and impact, the Chinese plan sounds much more impressive. That $700 billion is, after all, a rescue effort with modest effect at stimulating the economy. The real stimulus plan in the U.S., is yet to be figured out and waiting for Obama.

[Update] Here are some details of the Chinese stimulus plan, as reported in Chinese news media.

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