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Issue Wrap No. 457, February 22
Summary:

Highlights from the EO print edition, issue no. 457, February 22, 2010



The Problems with China's Household Registration System
Nation, pages 9-15
~ This week's EO features a special report on the inequality and frustration caused by the country's long-established residence registration system (户籍制度) and appeals to the central government to draw up a clear timetable for the abolition of the system.
~ The current registration system divides the country's citizens into urban and rural constituents, it restricts the free flow of labor and also means that citizens in urban and rural areas receive different standards in terms of access to social security, education and medical services.
~ One example is that migrant workers, who often make great contributions to the development of urban areas, aren't able to enjoy the social welfare services in cities due to the fact that they don't have an urban resident certificate.
~ Hu Xingdou, professor of economics at Beijing Institute of Technology, also contributed an opinion piece to the special feature calling for the replacement of the current registration system with a national citizen information system.
Original article: [Chinese]


Where Are China's Next Billionaires Coming From?
News, cover

~ Rupert Hoogewerf, founder of the Hurun Report, which publishes an annual China rich list, recalled that when he began to collate the list back in 1999, property developers made up approximately 50% of the billionaires on the list.
~ Although they've continued to maintain their fortunes, the proportion of property developers on the the rich list has declined over recent years. Instead, business pioneers in sectors like on-line gaming, home appliance retailing, Internet companies and clean energy companies have begun to emerge.
~ Pioneers in the technology, media and telecommunication sectors are likely to be the source of the next generation of Chinese billionaires.
Original article: [Chinese
 


Special Report: Who Will Influence Your Life and Business
News, page 2
~ This week's EO presents a special feature profiling some of China's most powerful people in order to get a better understanding of where the country is heading in 2010.
~ Included in the piece are profiles of  Zhang Ping, Director of National Development and Reform Commission; Finance Minister Xie Xuren; Zhou Xiaochuan, Governor of the People's Bank of China; and other important economic policy-makers.
~ Special attention is paid to the major problems that these powerful people identify, and analysis of whether there will be any major policy shifts.
Original article:[Chinese


Three Major Investment Options for 2010
Market, page 17
~ The Chinese economy faces complex uncertainties in 2010, making it tough for investors to make decisions of where to invest.
~ Uncertain as it may seem, there are still three things that are settled for 2010. The first one refers to looming inflation. Although imported inflation may not materialize, managing domestic inflation at home will be one of the dominant tasks for Chinese government in 2010.
~ With historically high housing prices, China's housing market will face stagnation. Prices of high-end houses in core areas will continue to rise while those of ordinary apartments will plateau.
~ The Chinese economy will continue to grow at a brisk pace in 2010, mainly driven by export growth as consumption remains weak. Meanwhile, the painful process of restructuring will slowly progress.
Original article: [Chinese]



Housing Investment Opportunities in Second and Third Tier Cities
Market, page 24
~ Despite China's central government adopting a series of measures to curb skyrocketing housing prices, opportunities for investors to make money in real estate still exist.
~ Commercial use properties in urban centers and residential housing in provincial areas and district-grade cities are likely to be good investments as they've witnessed a more modest and steady rise in their prices.
Original article: [Chinese]



CEOs Look Ahead to 2010
Corporation, page 25
~ This week's EO has done a survey of various Chinese CEOs expectation for 2010, focusing on their outlook for the Chinese economy as well as observations about their particular sector.
~ As the Chinese economy has witnessed a "V-shaped" recovery in 2009, over half of the CEOs interviewed expressed restrained optimism for the coming year.
~ Driven by market power, the eastern seaboard of China is predicted to once again displace central and western China and resume its role as the main engine of China's economy in 2010.
~ Since the end of 2008, the central and western areas have, thanks to the focus of the government's four-trillion yuan stimulus package on promoting infrastructure development in those regions, powered much of the country's growth.
Original article: [Chinese]

Where Should China's Judicial Reform Be Heading?
Nation, page 33
~ Cai Dingjian, professor at China University of Political Science and Law, has written an opinion piece on where China's judicial reforms should be heading.
~ He noted the right path for China's judicial reform is to draw on the experience of other countries in resolving social disputes and integrate it with China's reality to settle the increasing number of domestic disputes.
Original Article: [Chinese]



Outlook for China's Domestic Auto Industry in 2010
Automobile, page 41
~ After producing a record thirteen million cars in 2009, domestic car-makers have ambitious plans for 2010.
~ Led by BYD, the major Chinese car-producers expect dealerships to surpass 1,000 nation wide. It's also predicted that leading car manufacturers will be able to produce one million cars in 2010, as car companies with mixed ownership graduate from being mere manufacturers to complete modern enterprises.
~ Greater attention will be paid by car companies to promote the quality of their major products and the price of cars will continue to fall as the year progresses.
Original article: [Chinese]  


 

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