tag:blogger.com,1999:blog-5838647.post640149652464198962..comments2009-10-17T09:00:44.590+02:00Comments on China Economy Watch: China Retail Sales April 2008Unknownnoreply@blogger.comBlogger2125tag:blogger.com,1999:blog-5838647.post-12940761210622649742008-06-13T08:35:00.000+02:002008-06-13T08:35:00.000+02:00Hello,"This regime is known to fabricate data in i...Hello,<BR/><BR/>"This regime is known to fabricate data in its 50 year history,"<BR/><BR/>Well I understand your point, but this problem of data reliability is perhaps much more general (ie involves many more countries) than perhpas you imagine.<BR/><BR/>The thing is, from a macroeconomic perspective what actually matters is the movement in the data rather than the data itself. That is, unless you assume that the data is totally chaotic, the same bias should be there next month as it is this month, so you just strip that out and you can get some idea of what is actually happening. <BR/><BR/>Also the mounting reserves at the Bank of China are evidently a reflection of something.<BR/><BR/>Inflation readings are among the most internationally contested data areas, and here the temptation to "fudge" is evidently greatest, but at the end of the day registered export prices are much more difficult to play around with, and it is at this point of sale that things really matter. <BR/><BR/>As for the investors, well I am neither one of them, nor do I advise them. I am simply interested in macroeconomic phenomena.Edward Hughhttps://www.blogger.com/profile/10384039867580949531noreply@blogger.comtag:blogger.com,1999:blog-5838647.post-25625464647132357022008-06-13T05:08:00.000+02:002008-06-13T05:08:00.000+02:00The key qualifier is "according to the Chinese gov...The key qualifier is "according to the Chinese government." This regime is known to fabricate data in its 50 year history, especially during times of economic crisis to hide the problem. But no worries, finance pundits won't doubt these figures, so long as the fake data gives lift to the markets worldwide. Woe to the unsuspecting investors!Anonymousnoreply@blogger.com