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1/6
November's trade data continues to show just how lopsided China's economic recovery has been, with almost all of the recovery on the supply side, rather than the demand side. With export revenues up 14.9 percent in RMB (21.1% in USD), we should...
http://www.xinhuanet.com/english/2020-12/07/c_139569867.htm?bsh_bid=5570162922
November's trade data continues to show just how lopsided China's economic recovery has been, with almost all of the recovery on the supply side, rather than the demand side. With export revenues up 14.9 percent in RMB (21.1% in USD), we should...
http://www.xinhuanet.com/english/2020-12/07/c_139569867.htm?bsh_bid=5570162922
2/6
have seen those revenues recycled through wages and consumption to show a sharp rise in imports.
But they weren't. Imports in November were actually down from the previous November by 0.8% in RMB (up 4.5% in USD).
have seen those revenues recycled through wages and consumption to show a sharp rise in imports.
But they weren't. Imports in November were actually down from the previous November by 0.8% in RMB (up 4.5% in USD).
3/6
The result is China's largest monthly trade surplus on record: $75.4 billion, or 6.0% of Chinese GDP. This is requires a deficit for the rest of the world of nearly 1.2% of its GDP – the equivalent of a substantial fiscal contraction. Given how slow the recovery has...
The result is China's largest monthly trade surplus on record: $75.4 billion, or 6.0% of Chinese GDP. This is requires a deficit for the rest of the world of nearly 1.2% of its GDP – the equivalent of a substantial fiscal contraction. Given how slow the recovery has...
4/6
has been abroad, I am not sure the rest of the world will be eager to see so much of its domestic demand absorbed by China, especially as most major economies have focused on boosting the demand side of their economies. They won't want to see so much of it flow to China.
has been abroad, I am not sure the rest of the world will be eager to see so much of its domestic demand absorbed by China, especially as most major economies have focused on boosting the demand side of their economies. They won't want to see so much of it flow to China.
5/6
I've said before that the huge imbalance in the nature of Beijing's policies to promote China's recovery from Covid-19 requires either a surging trade surplus, which the rest of the world won't like, or a surge in public sector investment, which means a worsening of...
I've said before that the huge imbalance in the nature of Beijing's policies to promote China's recovery from Covid-19 requires either a surging trade surplus, which the rest of the world won't like, or a surge in public sector investment, which means a worsening of...
6/6
China's debt burden. Beijing is trying to limit the latter, but without seriously rebalancing its policies, it can only do so at the expense of the former. As I have been warning for months, the result can only be rising trade tensions globally.
China's debt burden. Beijing is trying to limit the latter, but without seriously rebalancing its policies, it can only do so at the expense of the former. As I have been warning for months, the result can only be rising trade tensions globally.
