Global economists come to a common understanding that China needs a stimulus program to emerge from the current stagnation. In times of economic downturn, prices decrease, and the country is approaching an open recession. The resolution of this situation will have a significant impact on determining the future path of the world economy. The country needs to transition to a new model, not based on increasing productivity, but on improving the quality of production for a growing consumer market.
**John Ripple:** "Currently in China, there is an interesting interaction between the government and the market. After a decade of negative growth, the Chinese economy has recently slowed down, entering the 'middle-income trap,' where the country struggles to build the necessary industrial strength. There is a divergence..."
