China's Guaranteed Bubble: How implicit government support has propelled China's economy while creating systemic risk

The truth about ChinaÆs financial industryùand the growing bubble thatÆs guaranteed to blow it apart... In recent years, the Chinese economy has been fueled by the implicit guarantee of major banks and local governments by the nationÆs central government. The resultant bubble has led to the emergence of a large shadow banking industry that poses major risks to ChinaÆs real estate market, speculative stock investments, state-owned enterprises, and more. ItÆs not a matter of if ChinaÆs bubble will burst. ItÆs a matter of when. This eye-opening book from renowned financial scholar Ning Zhu provides a provocative in-depth analysis of ChinaÆs current economic practicesùand the profound dangers they poseùas well as a powerful wake-up call to investors, regulators, and the entire financial industry. ZhuÆs book is packed with startling revelations, including: * The enormous impact of ChinaÆs implicit guarantees on economic growthùand what will happen when those guarantees are gone * The ever-increasing size of ChinaÆs shadow banking industryùand how itÆs just the tip of the iceberg * The once-reliable strength of ChinaÆs real estate and stock marketsùand how theyÆre threatened by government distortion * The latest financial innovations and channelsùand how they are circumventing regulations and triggering unprecedented risks Filled with fascinating case studies, worst case scenarios, and a well-argued case for much-needed reforms, ZhuÆs enlightening book is a must-read for anyone with interests or investments in ChinaÆs rapidly changing economy. YouÆll find intriguing new perspectives on traditional growth models, innovative solutions for overcapacity problems, and revealing new stats on so-called Voodoo Statistics. YouÆll get a glimpse behind the curtain of the ôunknown unknownsö of ChinaÆs implicit guaranteesùand learn just how risky these government policies can be. Most importantly, ZhuÆs book provides solid recommendations for diffusing the time bomb these guarantees can and will set off. Brilliant, incisive, and ultimately optimistic, ChinaÆs Guaranteed Bubble will incite a much-needed call for change and set us on a new path of prosperity and growthùfor China, the economy, and the world.

• | Author: Ning Zhu
• | Publisher: McGraw Hill
• | Publication Date: Mar 11, 2016
• | Number of Pages: 320 pages
• | Language: English
• | Binding: Hardcover/Business & Economics
• | ISBN-10: 1259644588
• | ISBN-13: 9781259644580