It is claimed Americans soon won’t be able to boast “We’re number one” about their economy. <br /><br />The World Bank has said China could pass the United States this year to become the biggest economy, measured in terms of its currency’s purchasing power.<br /><br />It bases that on calculations that the currency – the yuan – is actually much stronger than reflected by international foreign exchange rates.<br /><br />Interestingly, China’s National Bureau of Statistics does not agree, even though it took part in the World Bank study.<br /><br />It “expressed reservations” about the study’s methodology and “did not agree to publish the headline results for China”.<br /><br />In non purchasing power parity terms, the US economy is still about 40 percent bigger than China’s. <br /><br />with AP
