China beats Japan

NY Times – China Is Using Its New Economic Weight to Outmaneuver Japan
Japan, rich and with an aging population, increasingly appears intimidated by China, which is striving and bursting with youth. China’s leadership recently set an ambitious goal of quadrupling its $1 trillion economy in 20 years. Japan’s goals are much more modest: ending deflation and bringing bad bank loans under control by 2005.
With one-tenth of China’s population, Japan more and more acts as if it has already reverted to its historical place in Asia: a nation on the periphery of the Chinese empire.