2 ms·
That was China’s thinking, but it turns out there is a limit, it’s just not a gradual slope downward but a huge crash.
by seanmcdirmid 2y ago
That was China’s thinking, but it turns out there is a limit, it’s just not a gradual slope downward but a huge crash.
- eru 2y agoWhat makes you think so? The Chinese problems come from different sources. For example, there's lots of corruption, they are not keeping their nominal GDP on a stable growth target, and if I remember right, they have a lot of government intervention in the real estate and credit markets. See https://www.econlib.org/the-confusing-china-debate/ https://www.econlib.org/the-confusing-china-debate/ for an assessment more qualified than mine. And https://scottsumner.substack.com/p/chinas-mysterious-deflation https://scottsumner.substack.com/p/chinas-mysterious-deflati... for something more recent.