Aug
09
China’s Regional Growth Divergence Adds to Debt Policy Dilemma
By-
Guizhou in southwest posted a 10% increase in economic output
- Rustbelt province Liaoning rebounded while Jilin lagged behind
China is growing at a very steady pace — fluctuating between 6.7 percent and 6.9 percent for the past three years. But under the hood, there’s a wide divergence among its 31 regions in the first half of this year — from a 2.5 percent expansion for northeastern Jilin to a 10 percent boom for southwestern Guizhou.
Such divergence makes it hard to crack down on debt across the nation with a one-size-fits-all policy, as the stimulus that may be needed in Inner Mongolia might cause too much lending in more prosperous regions such as Shanghai…
China’s Regional Growth Divergence Adds to Debt Policy Dilemma
