China – Rebalance to Avoid the Middle Income Trap

Issue & Policy Briefs December 6, 2012, No. 108

China’s new leadership must rebalance the country’s economy if it is to avoid falling into the middle income trap. Yet slowing growth rates make drastic reforms politically sensitive at a time when the new leadership needs to maintain stability in order to consolidate their power. This policy brief explores some of the options.

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