Mark Mobius talks Brazil versus China
While Mark Mobius, like many others, continues to be bullish on China, he considers the economy of Brazil "more sustainable," as it has no need to depend on imports, in contrast to China, which must import large number of crops and metals in order to grow.
“Brazil’s economy is more sustainable because they don’t have to import anything. China has to import oil, iron ore and foods,” said Mobius. “Brazil is in a situation where it has tremendous resources. Not only mineral resources, but agricultural resources.”
Of course the difference is China has about a billion more people, which makes long-term demand for products and services a key element of its economic policies, which grant it leverage when dealing with foreign companies and governments.
Either country is to be considered a bull, and even with its better position of sustainability, China is still the country to look for over the next decade or two for major growth.
Of course Brazil will participate in that growth by providing a number of crops, metals and other raw materials needed to supply the growing Chinese needs.
Mark Mobius talks Brazil versus China
1 comment:
You can`t compare China with Brazil... Brazil is so much more advanced as country (democracy, institutions, gdp per capita, so much less population, not desvaluated currency like china, etc)
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