Increases in the number of households

Increase in the number of households in China

Description:

Over the next 50 years, Brazil, Russia, India and China—the BRICs economies—could become a much larger force in the world economy. Goldman Sachs has predicted that China will become the largest economy in 2041, closely followed by the US and India

Enablers:

1. Stable Macro Environment

2. Strong and Stable political institutions

3. Openess to trade and foreign direct investments

4. High levels of education

Inhibitors:

1. Unstable political environment, minority issues

2. Unhealthy financial institutions (Not commercial driven)

3. Working population decreasing (one child policy)

Paradigms:

1. Change of world power when China becomes the biggest economy

Timing:

2015: China's economy will be bigger than Japan

2041: China's economy will be bigger than US 1949: psychologist Donald Hebb suggests that a strengthening of the connections between neurons in the brain accounts for learning.

Web Resources:

1. http://www2.goldmansachs.com/ideas/brics/book/99-dreaming.pdf