Publication

This paper examines the Chinese economy in 2015, why the country's GDP growth rate appears to be falling, and what this means for Europe. The author argues that 1) the downturn should be seen as a sign that China has begun the transition to an economic model that is more consumption-driven and focused on service industries; 2) the impact of China’s downturn on the world economy has been overestimated; and 3) Europe does not depend greatly on China as an export market, and can benefit from low prices caused by a Chinese economic downturn. He also believes that European governments should act in unison to seize the moment and push for greater access to China’s economy, while seeking Chinese investment in large-scale projects.