Its hybrid model needs a partial refit, argues the Princeton academic
GDP
However, this hybrid approach must also grapple with the inherent tensions between state intervention and market dynamics. With an expansive, hierarchical government system, China employs potent career incentives—through promotions and demotions of local officials—to align local and regional governments with the central government’s agenda.
This has dampened entrepreneurial vigour, making business owners reluctant to embark on new ventures, even in an economy with substantial savings and liquidity. Heightened uncertainty, coupled with weak prices for real estate—the largest asset held by Chinese households—has hurt consumer confidence. Geopolitical tensions have hit Chinese exports and made foreign firms queasier about investing in China.
This presents policymakers with a thorny dilemma. They need to respond firmly with both short-term and long-term measures.
Belgique Dernières Nouvelles, Belgique Actualités
Similar News:Vous pouvez également lire des articles d'actualité similaires à celui-ci que nous avons collectés auprès d'autres sources d'information.
Hong Kong court upholds minimum sentences for breaching China’s security lawLui Sai-yu lost his appeal against a five-year sentence imposed after he pleaded guilty to inciting secession in the city.
Lire la suite »
Hong Kong court upholds minimum sentences for breaching China’s security lawLui Sai-yu lost his appeal against a five-year sentence imposed after he pleaded guilty to inciting secession in the city.
Lire la suite »
Saudi Aramco Looks To Expand Downstream Business In ChinaSaudi Aramco is looking to expand its downstream presence in China as it sees the country as a key part of its growth plans.
Lire la suite »
Why are women being denied legal land rights?Our weekly podcast on China. This week, we ask why patriarchal values are trumping the law in China’s countryside
Lire la suite »
China downturn exposes economy’s ‘fundamental weaknesses’ and may affect the world, say expertsThe country is experiencing a protracted slump where growth is stalling and last week the Chinese yuan fell to its lowest levels in 16 years
Lire la suite »