Posted Feb 7, 2013 by Martin Armstrong
China’s ratio of current account surplus to gross domestic output (GDP) dropped to 2.6 percent in 2012, its lowest in eight years, over more balanced foreign trade, official data showed on Wednesday.
The ratio was down 0.2 percentage points from 2011 and extended a falling streak since peaking at 10.1 percent in 2007, according to figures from the People’s Bank of China (PBOC), the country’s central bank.
All of this indicates that China is maturing as its own domestic economy. As this continues to unfold, China will eventually emerge as the largest economy in the world especially as the USA continues to attack entrepreneurship on the tax front.