China Stock Markets and Paul Krugman

China: The dramatic financial shocks in China have stripped his government of much of its glitter, according to The Toronto Star. It isn’t that the eye-popping plunge this week on China stock markets — described even in Beijing as Black Monday — means that much in itself. After all, this is destined to be China Century, isn’t it Or is it anymore The choreography being planned for the global stage in upcoming weeks now seems a bit hollow. The stock market matters less in China than it does in the West. As Paul Krugman, the Nobel Prize-winning columnist at the New York Times, put it: The big news here isn’t about the Chinese economy; it about China leaders. But to many analysts, the government overall handling of its current financial woes suggests something worse: that China authoritarian rulers are either unwilling or unable to get their fragile economic house in order. (news.financializer.com). As reported in the news.