Don’t Oversell China’s Economic Crisis \ stacker news ~econ

Don’t Oversell China’s Economic Crisis libertarianinstitute.org/articles/dont-oversell-chinas-economic-crisis/

333 sats \ 3 comments \ @Undisciplined 3 Oct econ

Joseph Solis-Mullen says don't overstate China's economic challenges.

"Much of the recent news has focused on China’s stock market struggles and the broader slowdown in its economy. The People’s Bank of China (PBOC) has rolled out a series of unprecedented measures in response to this. In a move designed to stabilize markets, the PBOC introduced a swap facility worth 500 billion yuan ($71 billion), enabling non-bank financial institutions to access funding for share purchases. This was followed by additional liquidity measures and rumors of an even larger stabilization fund. Yet, despite these efforts, analysts remain skeptical that they will be enough to stop the bleeding. China’s stock market, represented by the CSI 300 Index, has been one of the world’s worst performers for several years, reflecting broader concerns about the country’s economic health—though it did, predictably, soar in the days since these measures were announced."

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27 sats \ 2 replies \ @kepford 3 Oct

It is easy to over or under sell things. It gets more attention. There's a strong incentive to do both. I try to remind myself of this. We see it on SN and in the bitcoin world often. But I see it in every human community that I've experienced.

63 sats \ 1 reply \ @Undisciplined OP 3 Oct

It's one of the reasons I like posting differing opinions.

We also tend to have a hard time keeping economic "crises" in perspective. Even in really large economic crashes, the average person maintains 90%+ of their standard of living.

25 sats \ 0 replies \ @kepford 3 Oct

Overselling is great for getting your bros pumped but terrible for convincing others or winning people over. We basically live in a world full of liars justifying their lies by worst case scenarios. It just keeps escalating.