Some Economists Think China’s Monetary Easing Policy is Hitting Home.

In response to China’s stock market crash in the third quarter of 2015 China began a monetary easing policy which consisted of “pumping funds into state lenders known as policy banks to finance government-backed programs.” The stock market crash marked the end of China’s good fortune, as well¬†the end of the stream of foreign investment which funded much of their economies productivity. Weak demand for Chinese products, along with less foreign investment, both¬†added to the case for more stimulus. (Surprisingly China’s unemployment rate has floated consistently at around 4%.) And now just a few months later in 2016 China’s reserves Continue reading Some Economists Think China’s Monetary Easing Policy is Hitting Home.