March 22nd, 2009
China Boost Military Spending Whilst US Military Shares Take a Hit
Whist America and China continue to share their desire to accumulate money and power; it seems their directions may now be different.
China has stated that it will increase its spending on the military sector to 480.6 yuan (that’s £50 bn) which works out as a 14% rise from last year. Official Li Zhaoxing has assured that the increase in spending is aimed at improving defence for the country and “not threaten any country.” This increase comes very soon after China expended a great deal of cash hosting the Olympic games in Beijing 2008. This news is the latest in a string of mixed messages that China has been sending out regarding its financial state recently. The global recession is suspected to have hit China hard as Western consumerism slows and thus reduces production demand from their factories. Wages of workers in such factories have been reported to have been cut by as much as 75%.