Our recent visit to China highlighted significant challenges for its economy: although it is an economic model based around low cost manufacturing, China continues to lose competitiveness by pegging its currency to the ever stronger US dollar; its economy is not sufficiently capitalist for its banking system to recognise bad loans and for non-productive capacity to be shut down; infrastructure build continues to be the main government policy tool for stimulus even though the multiplier effect on…
‘Like Soviet Russia in 1959, has China already peaked?’
20 Nov 2015
Posted by Barry Norris