China’s Growth Deceleration: Causes and Future Growth Prospect

Abstract

China’s growth decelerated substantially after 2010. This paper argues that the main cause for the deceleration is external and cyclical, China has a potential growth rate of 8%, the economy has good investment opportunities and resources, and China is likely to achieve a medium-high growth rate of around 6.5% in the coming years. The paper also examines the various structural reforms that can help China to release its growth potential and complete the transition to a well-functioning market economy.

Keywords

China / economic growth deceleration / causes / countermeasures / external factors / cyclical factors / structural reforms / growth potential / well- functioning / market econmy / hig-growth rate / medium-high growth

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2019 Higher Education Press