Now shopping mall giant (Dalian) Wanda, owned by Chinaâs richest man Wang Jianlin, and Vanke, the worldâs biggest residential real estate developer, founded by the mountaineering-loving Wang Shi, have âstunned the capital markets,â in the words of Chinese news site The Paper, by announcing a âstrategic partnership.â.
The second macroeconomic consideration of increased imports is the impact on exchange rates. As we have shown in the previous section, as U.S. consumers increase their consumption of imports, the supply of dollars in foreign exchange markets rises.
The increase in the countryâs current account deficit for 2008 is attributable to a sharp increase in global oil prices. The United States, Hondurasâ largest trading partner, accounts for over 60% of its exports and nearly 50% of imports. The association between the two countries strengthened after the ratification of the Central American Free Trade Agreement or CAFTA in 2005. The agreement has led to increased foreign investment in Honduras and a sharp growth in the countryâs textile and apparel products industry.