China’s economy is seen as more sustainable because it is deflating its bubbles and raising productivity, while the US is doing the opposite – feeding the Bernanke bubble and hoping for an AI cure for falling productivity. The “twin cancers” plaguing China’s economy are a property bubble plus a shadow …
Read More »Morgan Stanley cuts its forecast for the growth of the Chinese economy in 2023 to 4.7%
Morgan Stanley has joined a group of major banks and brokerages in lowering forecasts for China’s economic growth for this year after a series of disappointing data and concerns about the ailing real estate sector there. According to a note issued by the bank on Wednesday, it now expects China’s …
Read More »China is entering a period of price deflation
China’s consumer sector entered a period of deflation and producer prices continued to decline in July as the world’s second-largest economy struggled to revive demand and pressure mounted on Beijing to take more direct stimulus measures. Concern is mounting that China is about to enter a period of sharp slowdown …
Read More »Could China Avoid Slower Economic Growth?
China’s economic recovery is facing several challenges, including an ageing workforce, weak consumer demand, and a property market downturn. Analysts are drawing parallels with Japan, which experienced a slowdown after its asset-price bubble burst in 1989. Japan’s relaxed monetary policy in the 1980s triggered an economic bubble that eventually burst …
Read More »Will Eurozone encounter a real estate bubble?
The head of the ECB banking supervision, Andrea Enria said there has been “an increase in vulnerabilities” in some countries’ residential real estate and an increase in cheap loans, have overheated the real estate market in many places, leading to an increased risk of a bubble.The European Central Bank has …
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