PDA

View Full Version : China to subsidize food after price spike



BillBoard
17th November 2010, 07:49 AM
http://finance.yahoo.com/news/China-to-subsidize-food-after-apf-1098634984.html?x=0&sec=topStories&pos=2&asset=&ccode=

China to subsidize food after price spike
China announces food subsidies for poor after price spike threatens to spark tensions

...

The ruling Communist Party's ability to manage inflation could play a key role in the impending handover of power to a new generation of leaders, Broadfoot said.

"They're going to be talking about inflation because it has a direct impact on social stability," he said. "Leaders who were going to be promoted, if there are protests, won't be promoted. In those areas where stability was maintained, those leaders will get the inside edge on being promoted."

Analysts have warned that stimulus money and a flood of bank lending coursing through the economy might add to pressure for prices to rise in other sectors.

...

Got Gold? Silver?