One factor not discussed in this article is the demographic headwinds that China is heading into. Their one child policy is only now resulting in greatly distor

One factor not discussed in this article is the demographic headwinds that China is heading into. Their one child policy is only now resulting in greatly distorted working age ratios, which means that their non-working elderly population is increasing faster than the population of workers to support them. With a safety net in place that relies heavily on existing familial structures rather than government programs, there are reasons to be concerned about declining aggregate demand over the next several years, precisely as China is trying hardest to transition from export-led growth to a larger, domestically-focused economy.