Economics
China’s Reluctance on Stimulus Will Cap 2023 Growth
Economists close to the government are advocating for more support, but political considerations are getting in the way.
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China is showing symptoms of a Japan-style stagnation, including a slump in property prices and declining exports. At the same time, services and high-tech manufacturing are booming.
The divergence is putting economists close to the government at loggerheads with policymakers in Beijing about whether the economy needs more support, a tug of war that’s likely to keep growth below its potential.