Is the Chinese Economy Vulnerable? State Capital Structure Trap and Financial Crisis: State Capital Structure Trap and Financial Crisis

Author: Michael Pettis
Publisher:
Publish Date: 2003-06-01
Features: Professor Pettis's warning is not alarmist but rather a strategic insight. China's current national capital structure can be said to be fundamentally healthy. It is precisely this national capital structure that enabled China to successfully withstand the Asian financial crisis. However, the situation is constantly changing. China has joined the WTO, capital markets will gradually open, and the full convertibility of the RMB is also an inevitable development direction. China's economy will be increasingly affected by global financial fluctuations. Therefore, designing and constructing a sound national capital structure has become an important issue in the reform and development of China's financial system. This book comprehensively and systematically introduces the national capital structure analysis model proposed by Professor Michael Pettis of the United States. By analyzing the development history of international financial crises over nearly 200 years, it reveals that a major reason for financial crises lies in the unreasonable design of national capital structures. On this basis, Professor Pettis applies his own analytical framework to analyze China's financial system and proposes new ideas and countermeasures for controlling China's financial risks. By reading this book, readers will be able to understand the core ideas of the national capital structure analysis model and gain a profound understanding of the causes of the financial crises that swept through most countries in Asia and Latin America in recent years, as well as the corresponding preventive measures. It is highly suitable for students and teachers in financial-related fields at universities, government officials, financial professionals, and researchers to study and reference.