Economists are expressing dissatisfaction with Chinese President Xi Jinping's efforts to address the current crisis in his country, stemming from debt-driven development and policies that hinder innovation and domestic consumption, The Week magazine reported.
Mounting debt poses a challenge, as does Xi's reluctance to embrace what he calls "welfarism," which he believes can lead to "laziness."
Some argue that Beijing should strengthen the nation's fragile safety net and initiate a stimulus program to boost consumer spending and job creation.
However, mounting debt poses a challenge, as does Xi's reluctance to embrace what he calls "welfarism," which he believes can lead to "laziness." This stance is seen by some as more aligned with Republican principles than those of a Communist leader who has championed "common prosperity."
While Beijing has made significant investments in industries like superconductors and electric vehicles, the latter has shown promise, with UBS analysts projecting China's share of the global auto market to roughly double to 33% by the end of the decade.
However, these sectors alone may not be sufficient to revitalize the entire economy.
Analysts suggest that in response to economic challenges, Xi's government faces two choices: expanding economic opportunities or increasing repression. They argue that it has opted for the latter path, which could exacerbate China's difficulties by further stifling innovation and growth.