Xi’s ‘Two-Speed Recovery’ Is Another Geopolitical Flashpoint
The Chinese economy's in a pretty tough spot. Maybe you noticed.
Sweeping measures unveiled Friday underscored Beijing's growing alarm at a property crisis of the Party's own making. In addition to dropping a national mortgage rate floor, the PBoC stepped in to help finance the purchase of hundreds of billions of yuan in unsold homes.
Although the real estate meltdown's a multi-faceted problem, ongoing price declines for residential properties despite a seven-quarter drop in mortgage rates (to
Kind of ironic that this Marxist Paradise the China is, the party, and the people basically own the means of production and yet the people remain proletarian
This has always been one of the greatest defining differences between soviet style marxism and chinese style marxism. If you are wanting a headache study both. I have thought, there is not often a discernable difference in overall outcome for the proletarian. However I have not conducted any good study of the differences and outcomes, more based on general impressions. Long ago in a far away time (prior to Murdoch takeover of WSJ) I read an editorial that promoted the thought that state sponsored capitalism can be a sustainable economic system. I have regarded that assessment to be a, mostly inconsequential to me, truism.
Ah, the editors must have been thinking of the Singapore system.
As to the differences in ideologies between the two countries, how can one forget that during the later Mao era, the three enemies of the nation were the “American imperialists, Soviet revisionists and All of their Running Dogs”
Those of you curious about recent history in Beijing, check out the bios of Liu Shaoqi
and Lin Biao. Xi is doing nothing new.
The good old days are back!
I’m quite possibly past my “enjoy by” date, but I don’t understand Lael Brainard’s assertion that China was somehow fostering fake growth by investing when it has excess capacity. Growth is about output not capacity. If you have excess capacity and add more, output, cet par, does not increase. Profits will decrease, however.