The Myths About China's Economic Slowdown [Forbes]
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Source: Forbes
Yuwa Hedrick-Wong Contributor i I write about the global economy An employee counts 100-yuan notes at a bank in Nantong in China's eastern Jiangsu province on July 23, 2018. China’s real GDP growth peaked in 2007 at 14.2%, and has been trending downward since. By 2017, it dropped to 6.8%. That much is clear and unmistakable. The problem is how to interpret the slowdown, especially in light of some recent economic indicators that have been widely used to project where the Chinese economy is heading. Here we quickly enter into the realm of myth making. The first common myth is that the recent decline of the Chinese stock market, which has shed around 20% of its value since the beginning of the year, signals that the slowing economy is being affected by the trade war and therefore heading toward deeper troubles. Indeed, U.S.President Donald Trump gleefully tweeted on August 4 that the slide of Chinese
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