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china now has been gaining on the yalunited states economical. now imf is forecasting that china will soon surpass the united states as the world's economic superpower. we want to bring in allison kosik from the new york stocks exchange. we were talking about 2016, five years away. earlier now than analysts predicted. why? >> exactly, suzanne. one analyst puts it it this way, saying this is not a perfect measure. in fact, none exists, but the imf is well-respected so this is taken seriously. here's why. take a look at this. i want to show where the u.s. is headed. u.s. gdp, economic growth based on what your dollar buys you, the forecast is to hit 18$18.8 trillion. china is expected to hit $19 trillion in 2016. the issue here, suzanne, is
about $8 trillion in total, meantime the u.s., that is forecast to go from about $15.2 trillion in 2011, in 2016 supposed to go up to $18.8 trillion, only about $3.5 trillion there. what does that mean as part of the world economy? by 2016, while china would be responsible for 18% of total world output, and that would likely keep rising, the u.s. for its part would only account for 17.7% of total world output. remember it was last year that china overtook japan as the world's second largest economy. if the imf forecast holds it would be a great economic leap forward for china, going from number three to number one and toppling the u.s. in six years. >> extraordinary spate when you look at it that way, rami. there are different dates floating around for when china will become the number bun. it doesn't seem any doubt of will but when. how credible is the 2016
2011 is at $11.2 trillion. by 2016, it will be at $19 trillion. compared to the u.s. economy, we have $15.2 trillion in 2001 and 18.8 trillion in 2016. i want you to take a look at this graph. it shows a line with the u.s. going down and china going up. the real story here is less about the u.s. decline but about china going gangbusters with their growth. they have earmarked $800 billion over five years just to increase their domestic stimulus. they are growing so fast. the population is at 1.3 billion. you have to consider all of those as parts about china before saying, the u.s. is just going down. it is china's growth is the story. >> i was just going to ask you that. let's say america does have the second biggest economy. is it we are losing bragging
shifts. the faa is considering scheduling naps of 20 to 30 minutes for controllers after studies show those who nap were more alert during working hours. a week after the s&p fired a warning shot to the u.s. about its debt the international monetary fund has chimed in with a startling prediction about america's coming place on the global food chain. for details we get up in your business this morning, cnbc steve sedgwick live just up the street here in london. nice to be on the same continent for once. >> yeah, absolutely. well, i mean, this is a startling story coming from the imf by one measure, called purchase power parity, the u.s. will be a smaller economy than chinese economy in 20 16. u.s. economy will grow to $18.8 trillion but the chinese economy will grow from present $11.2 to $19 trillion. the imfes by another measure, market exchange rates, the u.s.