Because China begins the process with the highest investment level in history, the extent of the transformation must exceed that of any other case, and it must occur at a time when weak Chinese demand is compounded
by weak global demand, thereby reducing productive investment opportunities for the private sector.
Not exact matches
The affluent city - state's economy has been hobbled
by dwindling exports amid stubbornly
weak global demand, while domestic consumption has also remained anemic with entire floors at some central shopping malls empty.
But the problem is caused
by a
weak global economy wherein inefficient
demand is causing slow economic growth.
He warned that the
global economy, despite or because of years of QE, ZIRP, and NIRP, is dogged
by a «
weak global outlook» and «sluggishness of
global demand»:
The economy has been hobbled
by a strong dollar and
weak global demand, which have undermined exports.
Recent data suggests
weak global demand for Chinese - made goods, declining levels of factory activity and a slip in the amount of freight being carried
by the China's rail network.
Thus the wage gains are from a one time energy glut brought about
by increased supply from fracking, lower
demand from a
weak global economy, and some producers increasing production to make up for lower prices (not entirely self defeating as consumer nations expand inventories while prices are low).
Historically whenever
global demand is
weak, and unemployment high, countries will try to gain a larger share of that
demand by reducing wages or otherwise taxing households to subsidize production (devaluing the currency is just a way to tax the consumption of imports and to subsidize exporters).
But a raft of mine expansions during the boom years and
weak demand caused
by the
global economic slowdown pushed prices to a 3 - year low near $ 80 a metric ton in October 2012, and they have stayed below $ 100 since.