AI-powered
podcast player
Listen to all your favourite podcasts with AI-powered features
2min chapter
Michael Pettis: China's Economic Growth Model Is Dying
Forward Guidance
The Debt Levels in China
In China, the distinction between private debt and public debt is much less important than it is in the US because moral hazard underpins the banking system. The huge US deficit has to be met with rising debt because the US deficit basically is a reduction of domestic demand. And that's not an accident that you see debt levels on both sides of the imbalances rise very quickly. We saw this in the 1920s. What we're seeing today is no different. But somehow or the other, you need rising debt to keep growth from slowing.
00:00
Transcript
Episode notes
Get the Snipd
podcast app
Unlock the knowledge in podcasts with the podcast player of the future.
AI-powered
Discover
highlights
Listen to the best highlights from the podcasts you love and dive into the full episode
Save any
moment
Hear something you like? Tap your headphones to save it with AI-generated key takeaways
Share
& Export
Send highlights to Twitter, WhatsApp or export them to Notion, Readwise & more
AI-powered
podcast player
Listen to all your favourite podcasts with AI-powered features
Discover
highlights
Listen to the best highlights from the podcasts you love and dive into the full episode