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Cleaning Up: Leadership in an Age of Climate Change cover image

Shedding Light on Energy's Dirty Secrets - Ep153: Lauri Myllyvirta

Cleaning Up: Leadership in an Age of Climate Change

NOTE

China's Misallocation of Resources and Risk-Taking in Industrial Policy

China's success in managing the transition to net zero is often seen as a result of central planning and control, but a closer look reveals misallocation of resources such as over-investment in real estate and primary industries. Instances like power stations feigning malfunctions due to low government-set electricity prices illustrate mismanagement. China's high tolerance for risk-taking and misallocation, while aiding in industrial policy, also highlights the challenges in efficient resource allocation.

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