 |
 |
 |
 |
|
 |
 |
The Soon Coming Judgment Of God Upon America and How To Escape It 514
Just as Russia has made certain preparations for war here in the United States so has
China. Chinese military spending is second only to the US but that tells only half the story. The
US government and military analyst agree that China tries to conceal its military spending and
provides figures that are much lower. Actual Chinese military spending can be 350 to 400
percent of their reported figures. “In the late 1990s estimates placed China's military spending
from 4 to 10 times the official budget.”
1906
China has also kept the value of the Yaun artificially
low for years. This enables them to sell much more exports but it also undervalues their domestic
spending. While the exchange rate has been running in excess of 8 yuan to the dollar for a
number of years, a more realistic figure is purchasing power parity (PPP) which was at about
1.84 in 2005.
1907
The estimated actual Chinese military budget for 2005 in PPP dollars was
$403.8 billion.
Not far off the US National Defense budget of $465.9 billion in 2005. See Table
19-2 below.
Table 19-2
US and Chinese Military Spending 2001-2005
(all amounts in billions)
Year
US military
Spending¹
China's
Military
Spending
(Yuans)²
%
Increase in
Spending
China's
Military
Spending
(Dollars)²
China's
Est. Act.
(Dollars)³
China's
Est. Act.
(Dollars)
PPP
4
2001
305.5
141.0
16.5
17.0
42.5
176.3
2002
348.6
166.0
17.7
20.0
50.0
207.5
2003
404.9
185.3
11.6
22.4
56.0
231.5
2004
455.9
206.5
11.4
25.0
62.6
258.1
2005
465.9
247.7
20.0
29.9
90.0
403.8
2006
447.4
283.8*
14.6
35.1
70.2
385.6
Sources: 1. US Census Bureau, Statistical Abstract of the United States, 2006, table No. 490. 2. “China's Defenses
Budget,” GlobalSecurity.org, http://www.globalsecurity.org/military/world/china/budget.htm. 3. From 2001 to
2004 and 2006 a conservative multiplier of 2.5 is used. For 2005 the DoD estimate is used. See Military Power Of
The People's Republic Of China 2006, Annual Report to Congress, p. 19, Office Of The Secretary Of Defense,
Department of Defense. 4. From 2001 to 2004 a PPP of 2.0 is used. For the year 2005 and 2006 a PPP of 1.84 is
used.
* Based on figures announced by UPI on March 6, 2006.
It is undeniable that China has been drastically increasing her military spending but for
what reason? That is what US Secretary of Defense Donald Rumsfeld would like to know and he
put the question to China at an international gathering of defense officials in June of 2006.
1908
 |