In an exclusive interview with China Daily, Lin said that the nation's potential annual growth rate in the coming decade could be 8 percent or higher, rebutting theories that economic growth will continue to drop due to such factors as demograp...
China will not follow in Japan's footsteps of the 1990s and fall into a so-called balance-sheet recession period characterized by income being used to pay down debt rather than spend, according to a top economist. In an exclusiv...
balance sheet recessioninfrastructureSummary China's economy remains strong relative to those of Japan, the United States, or Europe, even if growth has slowed to around 7 percent a year, these nations, after all, have experienced balance sheet recessions and the painful aftermath. China was ...
while policy mistakes in large, systemically important economies can push down the entire global economy, no single economy today can lift it. In other words, cooperation is vital to prevent a classic balance-sheet recession (
Now, China’s weak economic activity amid a housing correction has led many investors to draw comparisons with Japan’s balance sheet recession of the 1990s. What you will learn: Despite the different pathways, there are several similarities between China now and Japan then that may augur a ...
Nomura Research: China is facing a 'balance sheet recession' In March, the government said it will issue 1 trillion yuan ($138.9 billion) in"ultra-long" special treasury bondsin 2024 to fund big projects aligned with national strategies. ...
(Edelberg & Sheiner, 2021), the U.S. government can stimulate $1.2 to $1.6 in consumption for each dollar of cash subsidy, yielding a fiscal multiplier of 1.2 to 1.6. It is posited that the government of China could attempt to counteract balance sheet recession by implementing Modern ...
As enterprises' objectives shift from profit maximization to debt minimization, aggregate demand and investment growth are constrained, leading to the balance sheet recession (Koo, 2008, Eggertsson and Krugman, 2012, Buttiglione et al., 2014). Thirdly, balance sheet expansion amplifies business ...
China's economic situation is distinctly different from Japan in the 1990s when it fell into a balance-sheet recession. The exceptionally high savings rate in China and suppressed demand for improved housing ensure that a full-scale property price collapse is unlikely. This year, the People's Ba...
China is unlikely to relive Japan's experiences and enter a period of balance sheet recession, as long as it promotes technological innovations and industrial upgrades, and creates more investment opportunities for enterprises, Lin said. Japan abandoned its industrial policy approach under external press...