China sees exports and imports slow
Beijing, China (AHN) – China saw growth in its exports slow to 4.9 percent in April, compared with 8.9 percent last year because of the slowing of economies around the world.
The slowdown in global demand has also hit Chinese consumers and businesses. Growth in imports to China also slowed, dropping to just 0.3 percent in April, down from 5.3 percent growth in March.
Chinese government officials were reportedly expecting an 11 percent growth in imports. The decrease in imports was nearly across the board affecting everything from consumer items to raw materials.
China is the world’s second-largest economy behind the United States.
Although both nations have a capitalistic business system, the model that the Communist government of China uses is vastly different from the model the U.S. uses.
In the U.S., the model is democratic, secular and free-market where businesses pay taxes to the federal government. In China, the model is state capitalism where the government owns a portion of most businesses and takes part of the profits to fund government operations.