Andy Xie, Chinese Economist, opines that monetary easing won’t resolve China’s economic imbalance. Quantitative easing only delays the inevitable: painful reform. …the stock market bubble is likely to burst this year. What then? China’s economic tasks are: one, to deal with the consequences of the property bubble; and, two, to reach a sustainable balance between […]
Tag Archives: property bubble
Andy Xie says in his Caixin article that “Deflating the property bubble is the birth pain for a new economy. It must happen.” The quality of China’s GDP growth is rising with falling property prices. The economy is diverting resources away from wasteful bubble activities to productive ones. While growth is slowing, it reflects shrinking […]
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