China’s Desperate Move: Concealing the Economic Crisis

The world’s second-largest economy, China, is currently facing grim circumstances. In July, the consumer sector in China experienced deflation for the first time in two years. The demand for Chinese products in the global market has significantly decreased, resulting in a sharp decline in imports and exports. Moreover, millions of young people in China are unemployed, adding to the economic challenges. The once thriving property sector, which played a crucial role in fueling China’s economic growth, is now on the brink of a collapse.
In response to the unfolding crisis and the aggressive dumping of Chinese stocks by U.S. hedge funds, Beijing has resorted to its old tactics of concealing unfavorable data. On August 15, when the youth unemployment rate reached record highs month after month (now indicating that 1 in 5 individuals between the ages of 16 and 24 are jobless), authorities announced a pause in providing updates on the situation, citing the need for a reassessment of their methodology.



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