China’s Economy: Why Conventional Wisdom Can Be Wrong
Yukon Huang, Senior Fellow, Asia Programme, Carnegie Endowment for International Peace
Chair: Dr Michal Meidan, Associate Fellow, Asia Programme, Chatham House
In light of predictions that China will experience its slowest economic growth for 26 years with an annual growth target of 6.5 per cent, President Xi Jinping has called for new regulations to crackdown on financial risk, a shift to a new service-driven economic model and a continuation of the deleveraging of the economy. But why has this slowdown occurred? Will surging corruption hamper growth? And what does it mean for economic development in the west of China, for the ‘One Belt, One Road’ initiative, foreign trade and investment tensions with Europe and the US?
Yukon Huang, author of the new book Cracking the China Conundrum: Why Conventional Economic Wisdom Is Wrong, will address these changes in the Chinese economy. He will argue that conventional wisdom surrounding China’s economic machinations often stems from widely held misconceptions which arise, in part, from the unprecedented nature of its economic system driven both by the market and the state. Additionally, Huang will assess the present state and future of the Chinese economy. Will China’s growth begin to slow down as predicted and what is necessary to counter any such stagnation? And does the country need to open its market to foreign investment and to freer competition?