Why is the GDP of 200 1 China falling so fast?

200 1 China's GDP has not declined, but the world ranking has changed due to the exchange rate issue.

China's GDP, converted into US dollars, surpassed Italian in 2000 and 2002, ranking sixth in the world. From 2003 to 2004, Italy surpassed China only because of the appreciation of the euro. After adjustment with economic census data, the total GDP of China has surpassed that of Italy.

At present, GDP is the most widely used national economic statistical data in the world. It has been used for a long time and is an important statistical content of most national statistical agencies. Since 1986, China has implemented GDP statistics (explain, there are many articles that often talk about GDP in the early days of the founding of the People's Republic of China, and even GDP in the Qing Dynasty. I have consulted people in the economic field, and the answer is that these statements are sheer nonsense. Without statistics, it is impossible to estimate. In the past, the national economic strength was usually compared with the main industrial and agricultural products. GDP statistics include real GDP and nominal GDP. Real GDP is the GDP calculated by domestic statistical agencies in their own currency, which is mainly used to reflect the total domestic economy and growth rate. Nominal GDP is the GDP converted into dollars at the current exchange rate, which is mainly used to compare the international economic status and determine the proportion of international organizations' membership dues.

Although GDP is widely used, it has many shortcomings in practice:

1.GDP statistics is a kind of sampling statistics, not a complete sample statistics, which means that it will never be accurate, and there will probably be great errors. In contrast, the statistical organs of any country are most concerned about another set of data, that is, the revenue and expenditure of the state finance, which is a complete sample statistics, absolutely accurate data, with little error;

Second, the nominal GDP is seriously affected by the exchange rate. The GDP of some countries is obviously increasing or decreasing, but due to the depreciation or appreciation of their currencies, the nominal GDP may be a set of opposite data. For example, the nominal GDP and real GDP of China and Italy are opposite. In some small economies, because the exchange rate of their currencies is often unstable, the change of GDP will be considerable.

Third, the wealth of a country is sometimes not reflected by the commonly used per capita GDP. For example, Luxembourg's per capita GDP exceeds 70,000 US dollars, far exceeding the data of more than 40,000 US dollars in the United States. However, Luxembourg is a small country, while the United States is a big country. If you compare new york and Luxemburg alone, there is not much difference. The per capita GDP of some African countries is higher than that of China, but the field investigation will find that the local area is very poor, far poorer than that of China, because the local population is small, as long as a few mines are mined, the national GDP will be greatly improved, but these mines may not have high profits, which has little impact on the income of local people; For another example, Russia is recognized as a developed country, but its per capita GDP is less than 1 10,000 USD. This can only be attributed to the devaluation of the ruble after the disintegration of the Soviet Union. Although it has stabilized now, there is still a long way to go to restore the previous exchange rate.

Fourth, every time China's GDP statistics come out, there will always be people who scoff at fraud and make a hullabaloo about. They can only blame these people for being illiterate. There used to be a joke that two people ran into eating shit and said that although they were fooling around, they increased GDP. The person who made up this joke has no idea how to calculate GDP. If two people eat shit and pay taxes, then the statistical agency can count it out. In real life, tax evasion in China is very serious. Enterprises always try to reduce turnover data to avoid tax evasion. It can be seen that the statistical error of China's GDP is too large, and the published GDP data is absolutely less than the actual data.

Although GDP has many shortcomings, no better statistical data has been invented and widely recognized in economic statistics. In short, GDP can only be used as a reference, not too serious. As long as both real GDP and nominal GDP are increasing, it is definitely a good thing and a sign of the country's rising economic strength.