Why China is plumping for reform over stimulus

Despite ongoing concerns about slowing growth in China, two structural changes mean Beijing will be reluctant to introduce stimulus measures any time soon.

China has been hit with a slew of bad economic data in recent weeks, from the slowest pace of factory output in nearly six years to falling home prices.  

Fixed asset investment, which has been one of the strongest growth engines for decades, declined to 16.5 per cent, its slowest pace since China joined the World Trade Organisation in 2001.


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