Here is the potential economic crisis if China doesn’t recover.

And what if the world champion of emerging countries, growth, and fast industrialization wasn’t as strong as we thought? This country, you guessed it, it is China. 

 

And the reasons to believe that the Middle Kingdom is not really ready to face the economic turmoil are more numerous than you think. It is useful at this point to remember that if the Chinese government is no longer strictly Communist, it remains a country with a tightly controlled economy by the single party. And it is in this that aspect that the Chinese economic miracle is truly miraculous.

This type of government is generally much less efficient in the capitalist system. That is to say that the market economy does not benefit the very controlled structures by people that don’t have the efficiency in their best interests. In fact, China is one of the few -exception to this rule, but the forecast is not looking good in the land of rice and pandas.

Until recently, China had never really experienced any kind of crisis and that changed during 2015, China passed its first real stock exchange crisis. This is much less serious than other types of crisis, but it could be a bad omen.

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