I agree on most things you write in other articles, but not on the issue of China . Probably you also became victim of mass overwhelming anti China hysteria/propaganda.
Which doesn't mean that I believe situation in China is great.
I think that you severely underestimate the power of government/rulers in the command economy. There are many more things that could be enacted or outruled, that haven't been started yet, it is just a question of their willingness and true goals...
I wasn't aware of the bellow debt number and I see it as completely oposite - that the central government (Beijing) has a significant leeway increasing debt and stimulating growth if they decide so... Especially when real estate is not attractive as investment to many Chinese anymore, which means that many bonds could be sold domestically. I havebto point out also, that the PBOC hasn't been buying bonds till now in huge contrast to the Western CBs. The ruler recently said that that should be enacted. So there is a gargantous leeway available from that source as well.
Moreover, there really is no easy solution to this. The only entity with some leeway considering debt, is the central government (Beijing). However, with its debt fast approaching 80% of GDP, that leeway is getting narrower by the hour.
I agree on most things you write in other articles, but not on the issue of China . Probably you also became victim of mass overwhelming anti China hysteria/propaganda.
Which doesn't mean that I believe situation in China is great.
I think that you severely underestimate the power of government/rulers in the command economy. There are many more things that could be enacted or outruled, that haven't been started yet, it is just a question of their willingness and true goals...
I wasn't aware of the bellow debt number and I see it as completely oposite - that the central government (Beijing) has a significant leeway increasing debt and stimulating growth if they decide so... Especially when real estate is not attractive as investment to many Chinese anymore, which means that many bonds could be sold domestically. I havebto point out also, that the PBOC hasn't been buying bonds till now in huge contrast to the Western CBs. The ruler recently said that that should be enacted. So there is a gargantous leeway available from that source as well.
Moreover, there really is no easy solution to this. The only entity with some leeway considering debt, is the central government (Beijing). However, with its debt fast approaching 80% of GDP, that leeway is getting narrower by the hour.
Fact remains that China is the most indebted nation in the world, ever, with a wide margin.