Reported 4 months ago
According to Nobel laureate Paul Krugman, China's leaders are unwilling to increase government spending to support consumer demand, focusing instead on production. Krugman warned that China's economic model is unsustainable due to inadequate domestic spending and should prioritize demand over production. Additionally, economist Stephen Roach expressed concerns over Beijing's lackluster economic environment, contrasting predictions for more supportive policies from Chinese policy advisor Li Daokui. Krugman also addressed Japan's apprehension over a weakening yen, emphasizing its potential benefits for the country's economy. This comes amidst Japan's efforts to defend the yen and potential rate hikes by the Bank of Japan.
Source: YAHOO