Tremors in the Chinese economy: Debating the road ahead
February 10, 2016
A cascade of events has jolted China’s economy and rattled markets around the world. In just the first two weeks of the new year, the Chinese stock market shed nearly a fifth of its value. Unnerved by the volatility, investors in the United States sent the Dow Jones plunging more than 8 percent. Even China’s top leadership has acknowledged the serious challenge it faces in keeping growth apace. How profound are the risks to the Chinese and global economies? Are recent events signs of turmoil to come or merely isolated disturbances? Do the doomsayers go too far in forecasting China’s economic collapse?