1. China think tank warns inflation pressure building<br />http://www.google.com/hostednews/afp/article/ALeqM5icZAA37QWYOQ2AN-J3R8MbYz-gxg?docId=CNG.5a3bbd7e37ceb2324ec59718920ee6d5.661<br />In 2010, under the impact of inflation, the Chinese economy and CPI (customer price index) will continue to rise. Experts predict that if China is not well controlled growth rate, China's economy will be at risk. So the Chinese government will again raise the deposit interest rates, controlling inflation and economic growths speed.<br />The effects of inflation;<br />Inflation effect CPI, China 2010 CPI rearch at 3.2%, exceeding government expectations.<br />Food prices rising, because the growing plant costs.<br />China will have to change the monetary policy.<br />the prices of 18 types of vegetable increasing more than 60 percent<br />Government to take measures:<br />The central bank last month ordered banks to raise the amount of money they must keep in reserve for the fifth time this year, after it announced in October the first interest rates hike in nearly three years.<br />If the growth speed is not controlled properly, the economy might grow at a rate of more than 10 percent, which would result in overheating and add pressure to economic growth in 2011<br /> REN WEI<br />
