CHINA SEEN FROM TAIWAN

CHINA’S COLLAPSE IS UNLIKELY: FORUM

Taipei Times, September 26, 2012

China’s economic growth is slowing down, but the country’s economy is unlikely to collapse in the near future, nor is the rising power likely to impose economic sanctions against Taiwan or Japan, experts said at a forum yesterday.

China’s economy would not collapse in the near future, because Chinese officials are very much aware of the problems they are facing and have sufficient policy tools and resources on hand to handle a possible crisis, the experts concluded.

For the third consecutive week, the Democratic Progressive Party (DPP) held a symposium on China affairs to improve its understanding of the country. Yesterday’s forum focused on China’s economy, following previous topics on social and political development.

Beijing understands very well that its rapid economic growth in the past decade could not be sustainable and it would have to tackle the three major issues of “imbalance, inconsistency and unsustainability,” National Chengchi University professor Tung Cheng-yuan (童振源) said.

In an analysis of China’s economic transformation to the audience, among them DPP Chairman Su Tseng-chang (蘇貞昌) and Policy Research Committee executive director Joseph Wu (吳釗燮), Tung said China has been trying to slow down its export and domestic investment to transform its export-oriented economy to one with emphasis on domestic consumption.

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