Even With Reforms, Debt Will Constrain Global Growth

CHINA FINANCIAL - Report 14 Jan 2015 by Michael Pettis
Special Points To Highlight In This Issue:In spite of overwhelming historical evidence, and a sophisticated understanding of the mechanics of financial distress in finance theory, one of the most consistent mistakes macroeconomists make is their failure to recognize the growth constraints that emerge from the liability side of national balance sheets. Liabilities are more than simply the sum of the ways in which assets and operations are financed. Liability structure determines how payments are indexed and how an economic entity absorbs and responds to external shocks.By indexing payments, ...

Now read on...

Register to sample a report

Register
Sign-in
Forgot your password?
Copyright 2025 GlobalSource Partners. All rights reserved. This report is prepared for GlobalSource Partners’ clients and may not be redistributed, reproduced, stored in a retrieval system, retransmitted or disclosed, in whole or in part, or in any form or manner, without the express written consent of GlobalSource Partners. This report is distributed simultaneously to our website and other portals used by GlobalSource Partners. The information herein was obtained from various sources and is believed to be reliable but GlobalSource Partners does not warrant its completeness or accuracy. Neither GlobalSource Partners nor any Country Analyst, officer or employee accepts any liability whatsoever for any direct, indirect or consequential damages or losses rising from any use of this report or its contents.