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China GDP Growth & the Power of Compounding

Posted by nexvucapital on December 4, 2012

The following chart displays the GDP for China from 1980 to 2012 in Billions of USD:China GDP - 1980 to 2012

Now lets look at where the GDP for China could be in 10 years at various rates of growth coming off the 2012 base of $7.5 Trillion US:

10 Years @ 5.0% $7.50 $12.22
10 Years @ 6.0% $7.50 $13.43
10 Years @ 7.0% $7.50 $14.75
10 Years @ 8.0% $7.50 $16.19
10 Years @ 9.0% $7.50 $17.76
10 Years @ 10.0% $7.50 $19.45

 

Now a comparative of the GDP for the top 15 countries and the EU in 2011:

IMF Top 15 GDP 2011

In conclusion, with even moderate GDP growth versus the past – China is headed for top spot in the not-to-distant future.

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