Academics: Economy won't see post-Olympics slowdown
18 August 2008
Scholars at leading Chinese think tanks said they expected minimal post-Olympics effects on the country's economy, the South China Morning Post reported. China's "economic fundamentals will not change after the Olympics," said Wang Yiming, deputy director of the National Development and Reform Commission's macroeconomic institute. Wang cited China's high savings, increasing consumption, increasing productivity and continuing urbanization as strong factors stimulating growth, noting that Beijing accounts for only 3.6% of the country's economy. Yang Kaizhong of the Beijing Economic Social Development Research Institute said the Olympics would show "positive effects" within three years, as the games will help future development in tourism, finance and sports. But a report released by Goldman Sachs said that Olympics-related factory closures and restrictions on construction, vehicles and mining would be a drag on growth in August and September, as would slowing demand for Chinese-made products in the US and Japan. China's economy grew 10.1% year-on-year in the second quarter of 2008, the fourth consecutive three-month period in which growth slowed.