China Passes Japan as No. 2 (or Will Soon)

The US is the world's No. 1 economy, but who's No. 2? It depends who you ask. In the English-language version of the People's Daily Online, China declares that its newly revised GDP puts it in second place over Japan. But a slew of other observers, including the Wall Street Journal, Financial Times, and MoneyControl say Beijing remains in third (barely) based on IMF exchange rates. Though even if they're right, it's just a matter of time.

"Close, but no cigar," writes Andrew Batson at the Journal. "China is still likely to have to wait until the end of 2010 to pass this symbolic milestone." (More China stories.)