1. The Chinese economy has grown at an average annual rate of about 10 percent over the last twenty years. By contrast, the US economy has grown at an average annual rate of about 3 percent over this same period. This has made observers wonder as to why China is growing so quickly.
One commentator suggested he knew the reason for China's success, writing:
"On my visits to China I noticed the finished apartments were so poorly made that they will need to be replaced in less than 15-20 years. This is the secret to their economy. The entire infrastructure will need replacing all the time and that keeps a billion people with jobs."
Is the commentator right? Comment from an economic perspective.
2. Sammy Hagar is a popular recording artist and is perhaps most well known for being the former lead singer of the rock band Van Halen. In a recent interview Hagar was asked whether he planned on making new music. Hagar said he refused to do so because of the high cost, saying it would cost about half a million dollars.
After learning about this interview, a commentator wrote:
Half a million is crazy talk. Are you really going to tell me that Sammy Hagar and his other band mates don't own a recording studio between them? The recording cost would be the cost of a producer, some flights, and some accommodations for a couple of weeks. That doesn't even come close to equaling half a million dollars. Love Sam, but he needs to stop the nonsense and be honest.
Is the commentator right? Comment from an economic perspective.
1. The Chinese economy has grown at an average annual rate of about 10 percent over the last twenty years. By contrast, the US economy has grown at an average annual rate of about 3 percent over this same period. This has made observers wonder as to why China is growing so quickly.
One commentator suggested he knew the reason for China's success, writing:
"On my visits to China I noticed the finished apartments were so poorly made that they will need to be replaced in less than 15-20 years. This is the secret to their economy. The entire infrastructure will need replacing all the time and that keeps a billion people with jobs."
Is the commentator right? Comment from an economic perspective.
2. Sammy Hagar is a popular recording artist and is perhaps most well known for being the former lead singer of the rock band Van Halen. In a recent interview Hagar was asked whether he planned on making new music. Hagar said he refused to do so because of the high cost, saying it would cost about half a million dollars.
After learning about this interview, a commentator wrote:
Half a million is crazy talk. Are you really going to tell me that Sammy Hagar and his other band mates don't own a recording studio between them? The recording cost would be the cost of a producer, some flights, and some accommodations for a couple of weeks. That doesn't even come close to equaling half a million dollars. Love Sam, but he needs to stop the nonsense and be honest.
Is the commentator right? Comment from an economic perspective.
