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This is China, what is still the world's foremost industrial economy has apparently been knocked down a peg as it emerged into the new decade.

There has been wild speculation about companies divesting from the country as a response to the critical flaws in supply chains that have been brought to light. The world today is heavily reliant on China to manufacture almost everything we take for granted in our modern lives.

Report’s of companies desperately looking for supply chain alternatives and speculation about countries that are going to move in to take their place have been all over the news, and perhaps there is some merit to this speculation, but a lot of this may be un-grounded in genuine economics and rather just be the product of things people want to be true.

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📚 Want to learn more about the economy of China? We recommend reading "China's Economy: What Everyone Needs to Know", by Arthur Kroeber
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#Economics #Recession #DebtTrapDiplomacy

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References -

Were, A., 2018. Debt trap? Chinese loans and Africa's development options.

Money printer meme video - [ Ссылка ]

Brautigam, D., 2020. A critical look at Chinese ‘debt-trap diplomacy’: The rise of a meme. Area Development and Policy

Bajo, C.B.S. and Roelants, B., 2011. Capital and the debt trap. Hampshire: Palgrave Macmillan

Olson, D.L. and Wu, D., 2011. Risk management models for supply chain: a scenario analysis of outsourcing to China. Supply Chain Management: An International Journal

Aiyar, M.S., Duval, M.R.A., Puy, M.D., Wu, M.Y. and Zhang, M.L., 2013. Growth slowdowns and the middle-income trap (No. 13-71). International Monetary Fund.

Woo, W.T., 2012. China meets the middle-income trap: the large potholes in the road to catching-up. Journal of Chinese Economic and Business Studies

Articles -

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