lehmans buys bhp shares, page-31

re: 182 buyers at 25 China is a bigger story than housing in the US. In the most recent Far Eastern Economic Review Jonathan Anderso, Chief Economist at UBS, highlights the point that China's growth is not out of the ordinary relative to the experience of the Asian Tigers. A combination of high savings leading to strong investment and under-utilised labour saw the Tigers enjoy thirty years of strong development. Look at Taiwan's GDP; in 180 or so periods since 1961 Taiwan has grown faster than 10% per annum in 127 periods and averaged growth of 12%.

The two differences between Taiwan and China are Taiwan only has 23 million people and currently the Chinese are saving more than the Taiwanese at a similar development period meaning capital formation can occur faster in China. This is one of the great opporunities to buy BHP.