“China’s overall surge in credit in the first half of 2009,” an article in yesterday’s People’s Daily assures us, “is normal and healthy; however problems still exist in the structure, quality and flow of credit. China should continue to optimize credit structure and guard against potential risks.” Credible rumors suggest that new loans in June [...]
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Tags: CBRC, Chancellor, Rome
Posted in Banks, Fiscal debt and deficits, NPLs • 46 Comments »
I am, still trying to work out the implications for China of a rise in US household savings, but here is how I see it. I welcome comments that may help me refine or refute this argument. For the sake of simplicity I am going to assume that there are only two countries, the US, [...]
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Tags: Chancellor
Posted in Balance of payments, Consumption and production, Economic growth • 54 Comments »