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1/5
A Shanghai professor calls Singles Day sales "a barometer to observe China’s economy". He adds that "this online shopping festival will not only serve as an incubator for business innovation, but will also boost the domestic consumer market".
http://en.people.cn/n3/2020/1112/c90000-9779381.html
A Shanghai professor calls Singles Day sales "a barometer to observe China’s economy". He adds that "this online shopping festival will not only serve as an incubator for business innovation, but will also boost the domestic consumer market".
http://en.people.cn/n3/2020/1112/c90000-9779381.html
2/5
I've said this before, but strong online sales do not mean that consumption is reviving. They mostly mean that consumption is shifting from offline to online. It isn't that online sales will have no effect on rebalancing demand, but what matters is not more online sales.
I've said this before, but strong online sales do not mean that consumption is reviving. They mostly mean that consumption is shifting from offline to online. It isn't that online sales will have no effect on rebalancing demand, but what matters is not more online sales.
3/5
What matters is how online sales affect the distribution of income in China. By lowering costs for consumers, online selling might indeed raise the household share of GDP, but this impact can be partly or fully mitigated by its impact on raising unemployment.
What matters is how online sales affect the distribution of income in China. By lowering costs for consumers, online selling might indeed raise the household share of GDP, but this impact can be partly or fully mitigated by its impact on raising unemployment.
4/5
The key, I would argue, is what happens to collective profit margins in the retail industry. If they rise, the household share of GDP will in most cases fall, and with it, the consumption share. If profits rise, then more online distribution can boost the consumption share.
The key, I would argue, is what happens to collective profit margins in the retail industry. If they rise, the household share of GDP will in most cases fall, and with it, the consumption share. If profits rise, then more online distribution can boost the consumption share.
5/5
We have to separate these things. Moving retail spending online is good for China because it raises the overall productivity of the retail business, but whether or not it boosts domestic demand depends on how the productivity gains are distributed.
We have to separate these things. Moving retail spending online is good for China because it raises the overall productivity of the retail business, but whether or not it boosts domestic demand depends on how the productivity gains are distributed.
