Keynesian economics (not universally and totally accepted) says that if one has a weak economy, the government should stand up and spend. Beijing’s $103 billion stimulus plan includes heavy spending on a high-speed rail system.
Now China has the fastest-running trains in the world. When completed, the fast rail will leave this country in a solid position for fast and sustainable growth in the century.
Beijing has a giant plan to invest $556 billion on high-speed rail over the coming five years, to extend its network by up to 20,000 kilometers, connecting nearly all provincial cities and moving people and freight on the fastest tracks in the world.
In addition, to relieve large cities of amounting surface traffic during work days, more than 20 cities including Beijing, Shanghai, Guangzhou, Shenyang, Nanjing and Xi’an are tunneling underground, in their bids to build the longest metro system in the world.
Economists believe that the country’s immense input into rail will increase domestic demand and create jobs for the migrant workers.
The government has said that the Shanghai-Beijing High-speed Railroad has delivered 500,000 urgently needed jobs. The massive investment into rail and other fields has averted an otherwise sluggish economy.
People’s Daily Online
states the rail revolution in China will gain the country a position it has not before attained in history. And, the revolution will be not be ignored by others.