Dangerous Inflection Point: Is China's Growth Model Exhausted?

 by Bill Barclay 
This article is from the
March/April 2024 issue.
.
Consider two views of the economy of the People’s Republic of China:
View 1. China leads the countries labeled the “Global South.” China will soon overtake the United States in economic size. China’s renminbi threatens the hegemony of the U.S dollar. China’s “Belt and Road Initiative” may displace the West’s dominance in international lending. 
View 2. China faces a major debt crisis. Wealthy Chinese are getting money out of the country, buying apartments in Tokyo, and stowing gold bars abroad. Chinese youth are “lying flat,” rejecting pressures to out-perform their compatriots. China’s growth rate is slowing.
Both pictures painted above capture only a part of China’s complex reality. Understanding these contrasting pictures requires an analysis of China’s growth model, the combination of policy choices and actions, and their intersection with the changing global political economy over the past four decades. 
What is going on in China? And what might the future hold for China’s economy?
Dangerous Inflection Point: Is China's Growth Model Exhausted?
https://www.dollarsandsense.org/archives/2024/0324barclay.html
Read the entire piece. 
Bill Barclay is a Co Chair of the North Star Steering Committee.
 
 

---