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Is China’s Purchasing Managers Index (PMI) biased?

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There is currently two surveys produced for China’s PMI. Firstly we have a survey from China Federation for Logistics and Purchasing (CFLP)  and National Bureau of Statistics ( NBS) called the China PMI index that is sponsored by the government , and secondly the HSBC China PMI survey compiled by Markit.
The PMI is used to track business conditions as it is quicker to produce than official economic figures. PMI is measured around the figure 50. Above 50 is good and the economy is expanding, below 50 the economy is contracting and on the level 50 means the output stayed the same.
July 2013 results show that HSBC outcome was 47.7 (contraction) down from the previous months 48.2, and China Index reported 50.3 (expansion) up from 50.1.
But how can we explain the discrepancy between the two? Is China’s Index biased to release higher than actual figures, or does other factors play a role?
One might consider that seasonality can make an impact as China’s  seasonal trends differ than other countries for example the Chinese New Year, which in turn can reduce the number of working days in that period. However HSBC PMI which is produced by Markit, adjusts for these seasonal trends and contains no residual seasonality and the result is that China Index is still higher.
Markit produces PMI surveys for 32 countries and like all of them the HSBC survey panel is carefully selected using the most recent manufacturing statistics on industry sector and company size. A weighting system is used to ensure that the size of the company and the importance of the sector they operate in impact the results appropriately. The panel is represented by persons that work in state owned as well as private companies whereas the CFLP/NBS is reported to be skewed in favour of larger firms and according to Markit no weighting system is used
So perhaps the China index is bias towards bigger and better performing companies and as a result indicating the manufacturing industry is performing better than it actually is.
But what can be gained from this? PMI is a component used to calculate GDP and can influence economic growth in China. But is this sustainable and what will happen if not?
This is where recessions tend to begin and end, and if results tend to be higher than actual and not sustainable this will only postpone a recession, think of it as a snowball growing bigger and bigger!
So which PMI should one use and how? Well firstly because it is a very timely indicator and a good predictor of future releases such GDP one should maybe use a combination between the two in conjunction with other indicators such as the non-manufacturing PMI.

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