Of course there are advantages to planned economies. In the 60s, the US was absolutely terrified that the Russian command economy gave them overwhelming advantages that we couldn't compete with.
And If you went to school in the early 90s you'll remember that there was a real fear that we'd have to start going to school on Saturdays to keep up with the Japanese.
I can almost guarantee that in about 30 years, we'll have a panic about India.
>I didn't say they built the tallest building in the world. They built a 54 story buildings and five story buildings are certainly realistic.
Never said you did. My argument is that the company is essentially a propaganda machine, as evidenced by their repeated claims (and failed attempts) that they are going to build the world's tallest building.
>The whole "they cheat" meme is part of every criticism of China.
I'm not making a moral argument about China. I'm telling you the reason that they can accomplish many of the things that they are accomplishing is because they aren't restricted by the same rules.
They can have cheap factories because they don't have strong labor laws, and they don't have strict emissions controls.
The thing is though, all of that will end as their standard of living increases. It's already happening. People are tired of living in smog, so they are introducing stricter emission controls. People aren't living like rural peasants anymore so they are demanding higher wages.
As these things happen, growth will slow. Sure they're GDP will eclipse ours one day, so will India's most likely, but it's going to take a lot longer than naive extrapolation predicts it will.
I didn't say they built the tallest building in the world. They built a 54 story buildings and five story buildings are certainly realistic.
>A US company could also put up a 40 story building in 2 weeks. If the government loaned them hundreds of millions of dollars, allowed them to ignore worker safety and environmental laws, and they ignored any long term maintenance considerations
The whole "they cheat" meme is part of every criticism of China. China actually makes stuff though. The funny part about IKEA and other western retailers opening in China is that they had a very hard time competing because the locals just copied theit designs and sold them cheaper down the street. Unlike other markets they operate in, the locals can make things at a competitive cost. If you don't actually make anything you can demand all this abstract perfection. Most of the products that Americans buy in stores are made in China, including the cell phone or computer you are reading this on.
>It wouldn't be profitable, just like it's not profitable China. And it wouldn't last 40 years, just like the buildings in China won't last 40 years. Sure the government gives out lots of money, but that's communist central planning in action. Seems to be working better than the McMansion bubble.
The Chinese are not an inherently superior civilization to the Americans, thus the Americans could do the same thing if they got their act together. We rely on dumb wall street money to allocate capital that chases whatever bubble is hip at the moment. China allocates capital via giving banks very specific lending instructions. Different systems, and they seem to have some advantages.