China's Stimulus

There's a famous saying when America sneezes, the rest of the world catches a cold has been around for a few decades. Evidence of this can be seen during many instants in our history. The most recent example is our current financial crisis which has spread to other countries throughout the world.

Indeed America has sneezed multiple times over the past few months, and China has decided to inoculate itself. On Sunday, China announced that it would be sponsoring a huge economic stimulus plan to help protect its weakening economy. Over the past several months, China has experienced reductions in the rates of its economic growth. The plan consists of supplying almost 586 billion dollars to the Chinese economy over a two year period. This is the largest economic stimulus effort put for by China.

China hopes to use the package to maintain their current economic growth level and to rebuild parts of the country that were damaged from an earthquake in May.

Although, China's action is largely over domestic concerns, analysts are convinced this action is proof that China will be committed to ending the global financial crisis. While the source of the money used to make the economic stimulus package is different, China has the same basic idea.

Beside mama always said the best way to avoid the flu is to get the vaccine.