Cracking the China Conundrum, Yukon Huang, book
Cracking the China Conundrum, Yukon Huang, 2017, book review
Ch 1
-growth model, pp 8
-unbalanced growth: low personal consumption, high investment -> huge trade surplus -> risk to lt growth
-uneven growth due to urbanization and regional differences
-personal consumption cannot grow without increased govt expenditures in social services to supplement personal consumption
-property bubble: most of debt is public, emerging private property market still finding balance
-excessive lending for huge growth: banks can pass poor decisions to state -> no risk of collapse
-competition in China also depends on local govt entities
Ch 3
orgins of Growth model
-p 42, late 1990s privatization of housing -> housing worth more that what they paid -> wealth effect spurred consumption
-wealth gap is growing, rural vs urban
-issues:
1. unbalanced growth
2. debt during economic slowdown
3. external trade, FX, FDI