[lit-ideas] Tight policy becomes accommodative but aggressive easing, asset bubbles, overheating, propped-up growth, deluges...are unsustainable.
- From: David Ritchie <profdritchie@xxxxxxxxx>
- To: lit-ideas@xxxxxxxxxxxxx
- Date: Sun, 14 Apr 2013 23:32:56 -0700
Certainly with this number, policy certainly would not tighten and would
continue to be quite accommodative," said Tao Wang, an economist with UBS.
However, some analysts warned against any further aggressive easing measures,
adding that such measures may promote asset bubbles and overheat the economy.
"Another year of propped-up growth via state spending and a credit deluge
would, we fear, push China dangerously close to proving Wen Jiabao correct -
that the current economic model is 'unsustainable'," said Alistair Thronton,
senior China economist at IHS Global Insight.
"If something is unsustainable, at some point, it won't be sustained."
David Ritchie,
quoting the beeb, beeb ceeb
on China
http://www.bbc.co.uk/news/business-22148991
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