Hi, I tend to think you are right, but does your call for better social security require higher taxes and/other more debt? The problem may be the financial accountants in China’s government and CCP are adverse to debt and raising taxes, thinking it is “irresponsible” to increase social security benefits.
Maybe more effort is needed to explain why China has no reason to fear higher debt and/or more taxes?
All fair points. But I would still argue that a rapidly aging Chinese society needs far more security than China’s porous safety net provides. Until that occurs, consumer led growth will disappoint. Thanks for taking the time to write.
Hi, I tend to think you are right, but does your call for better social security require higher taxes and/other more debt? The problem may be the financial accountants in China’s government and CCP are adverse to debt and raising taxes, thinking it is “irresponsible” to increase social security benefits.
Maybe more effort is needed to explain why China has no reason to fear higher debt and/or more taxes?
All fair points. But I would still argue that a rapidly aging Chinese society needs far more security than China’s porous safety net provides. Until that occurs, consumer led growth will disappoint. Thanks for taking the time to write.