Investment overhang spells trouble for China

Persistently high levels of investment are producing diminishing returns and may signal a correction.

Investment overhang spells trouble for China

You can’t keep a good China bull down. After a brief flirtation with notions of a hard landing, the conventional wisdom now has it that China is poised to resume its inexorable rise to global superpower.

It is not entirely clear why the mood has changed. China has a new deck of leaders, as nobody could have failed to notice, but they are hardly very different from the...

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