Abstract
China’s greatest loss from the 2008-2010 crisis is the death of its 1986—2007 growth model. However, like a phoenix resurrected from its funeral ashes, what China metamorphoses into has the potential to be even better than its past. Section 10.1 of this chapter explains China’s 1986—2007 export-driven growth model and why the 2008—2010 crisis has killed it. Section 10.2 explains China’s short-term response to the crisis—an increase in fiscal stimulus—and produces preliminary quantitative estimates of its effectiveness. Section 10.3 explains China’s long-term response to the crisis—a switch to a domestic consumption-driven growth model—and why it could make China an even better economy. Section 10.4 concludes.
Original language | English (US) |
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Title of host publication | Two Asias |
Subtitle of host publication | The Emerging Postcrisis Divide |
Publisher | World Scientific Publishing Co. |
Pages | 267-294 |
Number of pages | 28 |
ISBN (Electronic) | 9789814366274 |
ISBN (Print) | 9814366269, 9789814366267 |
DOIs | |
State | Published - Jan 1 2011 |
ASJC Scopus subject areas
- General Business, Management and Accounting
- Economics, Econometrics and Finance(all)