Chinese GDP (Purchasing Power Parity) may surpass the US this year (at around 16 trillion USD). Purchasing power parity adjusts GDP based on costs in a country – for example if average costs in China are half those in the US then their PPP should be around double of their nominal – which is almost true. China’s nominal GDP stands around 9 or 10 trillion this year. The first quarter the US economy grew a very tiny 0.1%, which is very tiny compared to a approximately 9% growth rate happening in China. It will really be interesting to see what the world is like when the Chinese economy becomes the largest – and how that will affect the balance of power around the world.