Reported 2 days ago
As China's economy grapples with a deflationary spiral and rampant overcapacity, President Xi Jinping's government is attempting to tackle the issue by curbing production in key sectors like steel and solar energy. However, without a substantial stimulus akin to the near $900 billion housing boom decade ago, experts warn the economy may suffer further. Policymakers face a dilemma as they aim to address weak household demand without sufficient tools to boost consumption, leading to calls for more structural reforms during the upcoming Communist Party's meeting.
Source: YAHOO