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The new snapshot of the Chinese economy has surprised everyone.
A double-digit upward revision of a country's gross domestic product (GDP) figures, though rare, is not unheard of. But an increase of 16.8 percent in the size of China's economy is another thing altogether.
According to the results of the first national economic census announced by the National Bureau of Statistics (NBS) yesterday, the country's GDP in 2004 reached 15.99 trillion yuan (about US$2 trillion) 2.3 trillion yuan (US$285 billion) more than previously thought.
Such a massive revision immediately enabled the country to overtake Italy as the world's sixth largest economy.
Given its forecast growth rates of about 9 percent this year and 8 percent next year, it is only a matter of a few years before China leapfrogs Britain and France to become the fourth largest economy.
The steady rise in the size of China's economy, largely thanks to fast growth over the past quarter of a century, has deeply impressed the international community.
While the world has been adapting to the development of China, the sudden jump forwards of the economy must seem shocking and suspicious to many at home and abroad.
Domestically, questions have been raised about whether policies based on underestimated economic figures should be adjusted.
Internationally, analysts are swiftly recalculating the influence a bigger Chinese economy will exert on the global market.
Taking a second look at the reality of the Chinese economy is certainly necessary, but jumping to simplistic conclusions will not help understanding of the country's true economic strength.
The one-sixth expansion of China's GDP, mostly stemming from the increase in service sector output, more clearly and accurately pictures the national economy, compared to previous statistics.
But it has altered neither the fact that China remains a developing country in essence, nor the pressing task of replacing the extensive growth model with balanced and sustainable development.
China's top statistician pointed out at a press conference yesterday that the census was merely a snapshot of the economy; that the statistics themselves are not national wealth. The argument is half true.
Responding to the puzzle of why some citizens' wallets have not been fattened as the country's GDP figures have increased, the official joked that if the census actually inflated our wealth we would repeat the process indefinitely.
That logic can also be used to allay worries overseas about China's ever-growing demand for energy and other resources.
The new findings are only a better assessment of current economic conditions. Instead of a larger appetite, a larger Chinese economy points to higher-than-expected efficiency in the country's use of energy per unit of GDP output.
Admittedly, it is important to distinguish the real economy from the statistics that mirror it, though they are of course very useful.
Accurate statistics are essential for scientific decision-making and therefore improved performance of the economy as a whole.
The GDP revision confirmed loopholes in the country's existing data collection mechanisms. But just as every cloud has its silver lining, the country's statisticians can make use of the problems that have been exposed to implement necessary reforms.
Revised statistics help clarify policy-makers' perceptions of the country's economic structure and better prepare them for the country's new development programme. In a sense, high-quality statistics are part of a nation's strength.
(China Daily December 21, 2005)
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