The World Bank said China’s gross domestic product would grow only by 6.5 percent this year, the second time it has lowered its forecast since November.
Daniel Rosen of the Rhodium Group and the Peterson Institute for International Economics discusses the significance of the slowdown for China and for other troubled economies — like the United States — who are looking to China to help alleviate financial turmoil.
Read more from David Dollar, the World Bank’s country director for China and a Worldfocus contributing blogger: Reading tea leaves for signs of China’s economic recovery.
07/31/2009 :: 10:40:26 AM
Kobe Lee Says:
China’s problems are obvious.The government is on the wrong side of the world——competing against private enterprises, grudging spending on education, medicare and social security. Therefore domestic consumption is really low. The country relies on government investment to drive the economy. It would result in big inflation and huge NPLs in the banking system.