During the Covid epidemic, the Chinese state has enabled local governments to borrow at record levels. They are supposed to use it to pay for infrastructure projects and thus boost the economy. As a result, China's economy has grown as desired but so has the debt burden. Depending on how it is calculated, it even exceeds US debt as a share of GDP. But China has some decisive advantages.
Von Frank Sieren
Institutional arrangements are complex systems, shaped by history, geography, and culture. The objective should not be to identify a one-size-fits-all approach, but rather to devise the combination of characteristics that would deliver the greatest good for the greatest number of people, with the right checks and balances.
Von Redaktion Table
It is supposed to be the Android killer and free the company from part of its US dependency. Indeed, Huawei showed many interesting and useful features during the presentation of HarmonyOS. A gradual market launch is now starting in Asia. But how new is the new product really? Experts smell a label fraud.
Von
Während der Corona-Epidemie hat der chinesische Staat den Lokalregierungen Kredite auf Rekordniveau ermöglicht. Damit sollen sie Infrastrukturprojekte bezahlen und so die Konjunktur ankurbeln. Dadurch ist Chinas Wirtschaft zwar wie gewünscht gewachsen. Die Schuldenlast allerdings auch. Sie übersteigt – je nach Rechenweise – im Verhältnis zum BIP sogar die Verbindlichkeiten der USA. Doch China hat einige entscheidende Vorteile.
Von Frank Sieren
