A thorough and most importantly brutally rational analysis of the economic effects of COVID-19 on China needs to be conducted with a cool head and while a valid case can be made that it is still too soon for us to claim that the dust has settled to enough of a degree for that to
Macroeconomics
22
Jul
Jul
- No Comments
5 China Trends for the 2020s
When making decisions, a lot of investors like to take a long-term approach to choosing where to put their money. Instead of thinking about where a company’s stock will be over the next few weeks or months, they think about where that company will be 5, 10 or even 20 years from now. This type
22
Jul
Jul
- No Comments
(Controlled Economic) Shutdown in the Context of a Pandemic: From Social Distancing Necessities to Consequences
Right from the beginning of the 2020 situation, the ChinaFund.com team has made it clear that it specializes in matters pertaining to economics and most definitely not the medical dimension. As such, the rational and ultimately only approach worth embracing is listening to medical professionals when it comes to measures through which the spread of
21
Jul
Jul
- No Comments
Will China Lead or Follow in Terms of Fiscal Stimulus?
Prior to the 2020 developments, many experts were perpetuating a “normalization” narrative, from the normalization in terms of interest rates (which many assumed would continue representing the status quo) to even scenarios which involved at least some kind of a Federal Reserve balance sheet reduction. Needless to say, with the benefit of hindsight of course,
20
Jul
Jul
- No Comments
The 2020 and Post-2020 Limits of Monetary Stimulus in China and Elsewhere
Here at ChinaFund.com, we like to keep our thoughts and website organized so as to deliver the best possible results and in the spirit of just that, it makes sense to start with a bit of an inventory of (quasi-axioms) before proceeding with today’s article, one through which we will try to identify the limits
19
Jul
Jul
- No Comments
Can Excessive Stimulus Lead to Systemic Confidence Loss in China and/or the West?
In a previous article, we have explained that governments and central banks from all around the world are embarking on what seems to be a one-way (monetary as well as fiscal) stimulus journey and that China will most likely not exactly represent an exception. In fact, a compelling case could be made that Beijing set
18
Jul
Jul
- No Comments
Will China Hop on the Post-Pandemic Currency Creation Trend?
As pretty much anyone with at the very least basic economic know-how can confirm, our globalized as well as (or especially) over-leveraged economic system isn’t exactly “built” to withstand shocks such as a significant recession. To understand or even internalize this quasi-axiom, we would recommend simply heading over to a GDP evolution chart and taking
17
Jul
Jul
- No Comments
Trade Relations Between the U.S. and China, Summed Up
The United States and China are the two top players when it comes to global trade. The United States currently sits at #1 in terms of nominal GDP. However, gaining speed behind them at #2 is China. It goes without saying that the trade relationship between these two countries has global repercussions. This is especially
17
Jul
Jul
- No Comments
(Potential) Universal Basic Income in the West: Implications for China?
To combat the effects of what started out as a medical crisis and turned into an economic one, governments and central banks from all around the (especially Western) world have manifested a clear desire to throw the proverbial kitchen sink at the problem right from the beginning. Among other things, with the United States setting
16
Jul
Jul
- No Comments
Globalization and What It Means for Investors
As technology has improved and people are able to communicate more quickly, the world is effectively shrinking. By this, we mean that it’s getting easier and easier to conduct business around the globe. Think about it: ● Taking a trip around the world (something that was almost impossible just a hundred years ago) can now