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RE: China’s Economy Is Not Crashing, It’s Worse Than That

in #china6 years ago

Depends on debt levels and cost of servicing debt. Growth falling below a certain amount can cause a crash if debt was taken on in the expectation of higher growth.

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Growth falling below a certain amount can cause a crash if debt was taken on in the expectation of higher growth.

I see, I did not take into consideration excessive debt driven growth.