SchwartzReport: China’s Contradictions — High Speed Rail Up, Wealthy Chinese Move to USA

02 China, 03 Economy

schwartz reportWorld’s Longest High-speed Train Opens in China

The Associated Press/Washington Post

We’re spending our money in Afghanistan, making their ruling elite, and ours literally pots of money. Meanwhile the Chinese are doing what….? That’s right building high speed rail. Meanwhile our passenger trains, when you can find one, average a searing 59 miles an hour across tracks laid when your grandfather was a boy.

BEIJING — China on Wednesday opened the world’s longest high-speed rail line that more than halves the time required to travel from the country’s capital in the north to Guangzhou, an economic hub in southern China.

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Trains on the latest high-speed line will initially run at 300 kph (186 mph) with a total travel time of about eight hours. Before, the fastest time between the two cities by train was more than 20 hours.

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Rich Chinese Flee, Bringing Their Wealth With Them

ROBERT FRANK, Reporter & Editor – CNBC

The Chinese are transforming themselves economically. But they are using a political system to do it that people flee when they are able. This is a very important insight to keep in mind. Ironically many of these fleeing Chinese end up in the U.S., bring their money with them.

Most countries worry about brain drain. China is worried about millionaire drain.

A new report in China shows that 150,000 Chinese – most of them wealthy – emigrated to other countries in 2011. While that number may not seem high for a country of more than a billion people, the flight of China’s richest – and the offshoring of their fortunes – could cost the country jobs and economic growth, according to the study from the Center for China and Globalization and the Beijing Institute of Technology.

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