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Capital Markets Experiment in Wenzhou

Capital Markets Experiment in Wenzhou

In China, reforms often come about from the ground up. Over the years, the country has shown an uncanny knack for taking what is otherwise an illegal activity according to its own laws and regulations, experimenting with it, legitimizing it, and then incorporating it into an overall reform program on a step by step basis. […]

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China Finds An Ally In Brazil

China Finds An Ally In Brazil

Make no mistake, a trade war between the United States and China is brewing. In the cases of steel wheels and solar panels, the United States is saying that China exports too much. In the case of rare earth metals, the United States says that China exports too little. Last week, the U.S. Commerce Department […]

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China And Sustainable Growth

China And Sustainable Growth

In response to our recent post on China’s growth rate, one of our readers wrote and asked the following: This may be a dumb question, but why is China’s high growth rate a bad thing? Shouldn’t the country be happy that its economy is growing rapidly while everyone else’s is slowing? With countries around the […]

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China’s Developing Capital Markets

China’s Developing Capital Markets

Just as the U.S. capital markets did in the 1980s, China’s capital markets are developing, providing Chinese companies with an increasingly wider variety of financing options. As capital becomes more accessible to every company in China, not just those that are owned by the state, the country’s transition to a domestically-driven economy where private companies […]

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Hard Landing For China: “Off The Table”

Hard Landing For China: “Off The Table”

According to a CNBC report: A senior International Monetary Fund official said on Monday that China was taking steps to reduce property bubble risks and said it has room to add fiscal stimulus if conditions worsen. “China can move away from its reliance on external demand and needs to build up domestic demand,” said Anoop […]

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China 2011 Wrap-up

China 2011 Wrap-up

With most of the numbers in and New Year’s celebrations in both the West and China nearly behind us, it’s a good time to put a final wrap on 2011. On an overall basis, there are a number of conclusions that can be drawn from China’s economic performance in 2011. First, despite a year of tight […]

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MTD’s Predictions for the Year of the Dragon

MTD’s Predictions for the Year of the Dragon

The Year of the Dragon is upon us, and it’s time to predict how the New Year will turn out. Here’s the way I see it. Prediction #1: China’s economy will grow at 8.5 percent. Having lived and worked in China for 20 years, and having some sense for how the country works, I view […]

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The Outlook For China’s Economy

The Outlook For China’s Economy

With 2011 rapidly coming to a close, economists are busy making their predictions for 2012. Here is what a panel of experts had to say recently to China Daily. Hard Landing: Ardo Hansson, lead economist for China at the World Bank, believes that China may face the risk of a hard landing if the European […]

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China’s Economy at a Turning Point

China’s Economy at a Turning Point

All this year, the drumbeat with respect to China’s economy has been consistent. As the economies in Europe and the United States, China’s two largest export markets, have continued to struggle, and China has tightened credit in its war against inflation, the China economy has been slowing noticeably. In this year’s third quarter, China’s gross domestic […]

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China Eases Monetary Policy

China Eases Monetary Policy

In our recent post on today’s opportunities in China real estate, we commented that monetary easing by the Chinese government was already underway. Last evening, an announcement by the People’s Bank of China said that it would reduce the reserve requirement ratio by 0.5 of a percentage point, effectively increasing the amount of money banks can […]

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