» China: Policy Shift Intensifying Decision Economics

China: Policy Shift Intensifying

Posted July 11, 2012 by Editor


  • The government’s stance is shifting away from a very limited response, a policy that assigned priority to “rebalancing of growth”, i.e. avoiding the traditional method of boosting the economy through credit-growth and public sector investment increases.  Now, lending is growing at a faster rate, and Prime Minister Wen Jiabao has indicated that it is “important to promote reasonable growth in investment”–the strongest official acknowledgement to date that the deterioration of economic conditions has cornered them into a more decisive stimulus policy.
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