China has slowed far far more rapidly than most expected. The major source of its downturn has been a slump in domestic construction. But falling exports are now starting to play a role. I wouldn’t rule out the possibility that its economy may contract for a quarter or two.
Consequences for Australia?
Ahhh, but I forget, commodities aren’t important to the Australian economy, and therefore China isn’t important to the Australian economy. Silly me.
Posted by .(JavaScript must be enabled to view this email address) on 01/09 at 04:49 PM
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Is anyone (apart from the doomsayers) taking seriously the idea that China could go into recession?
Brad Setser seems to be in his Thinking about 09 post…
China has slowed far far more rapidly than most expected. The major source of its downturn has been a slump in domestic construction. But falling exports are now starting to play a role. I wouldn’t rule out the possibility that its economy may contract for a quarter or two.
Consequences for Australia?
Ahhh, but I forget, commodities aren’t important to the Australian economy, and therefore China isn’t important to the Australian economy. Silly me.
Posted by .(JavaScript must be enabled to view this email address) on 01/09 at 04:49 PM