Tianjin residents protest, August 20.
Capitalism with Chinese characteristics is in some strife. This is largely because the government’s attempt to keep growth at an unsustainable 7% a year is fuelled by equally unsustainable debt.
Corporate and local government debt has grown by 50% since 2009, and total debt, which includes household debt, is now close to 187% of GDP.
Tianjin industrial disaster
Tianjin residents protest, August 20.
Capitalism with Chinese characteristics is in some strife. This is largely because the government’s attempt to keep growth at an unsustainable 7% a year is fuelled by equally unsustainable debt.
Corporate and local government debt has grown by 50% since 2009, and total debt, which includes household debt, is now close to 187% of GDP.