: While this is a worrying view, it is not the first to say that China macroeconomic policies are keeping the population satisfied for now at the cost of real problems in the future, according to Global Times China. For years, investors have chosen to ignore the warnings of international banks about the volatility of the Chinese economy, hedging long-term risk over likely short-term gain. While it acknowledged China GDP growth and anti-corruption efforts, it also noted the high proportion of debt to GDP, the seemingly meaningless growth targets being set, and the inefficiency of many SOEs, meaning that foreign investments in China are at risk of severely undershooting their expectations. And, for the time being, results have borne them out. Many are now wondering to what extent these accusations are founded, and recent events such as fluctuations in the Shanghai Stock Exchange are making this theory pass from journalists and economists to the investors themselves. However, as China faces pressure to fully bring its domestic economic policy in line with international norms, the calls are being heeded.
(news.financializer.com). As
reported in the news.
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