POLICY BRIEF 13-2

A Blueprint for Rebalancing the Chinese Economy

by Nicholas R. Lardy, Peterson Institute for International Economics
and Nicholas Borst, Peterson Institute for International Economics

February 2013

The task of economic rebalancing is likely to demand much of the new Xi Jinping–Li Keqiang administration's energy and attention. Rebalancing entails implementation of large changes to fundamental economic policies, such as removing lingering price controls and opening up the closed financial system. It will also bring about a shift away from the economic winners of the past decade, namely manufacturers and property developers, towards private consumers and the service sector. Despite these challenges, rebalancing can be achieved while sustaining moderately fast economic growth.

View full document [pdf]


RELATED LINKS

Policy Brief 14-21: Is China's Property Market Heading toward Collapse? August 2014

Policy Brief 13-16: Preserving the Open Global Economic System: A Strategic Blueprint for China and the United States June 2013

Working Paper 12-19: The Renminbi Bloc Is Here: Asia Down, Rest of the World to Go? October 2012
Revised August 2013

Policy Brief 12-7: Projecting China's Current Account Surplus April 2012

Book: Sustaining China's Economic Growth after the Global Financial Crisis January 2012

Book: Eclipse: Living in the Shadow of China's Economic Dominance September 2011

Op-ed: For a Serious Impact, Tax Chinese Assets in the United States October 13, 2011

Op-ed: Taxing China's Assets: How to Increase US Employment Without Launching a Trade War April 25, 2011

Op-ed: Why the World Needs Three Global Currencies February 15, 2011

Policy Brief 10-26: Currency Wars? November 2010

Testimony: Correcting the Chinese Exchange Rate September 15, 2010

Policy Brief 10-20: Renminbi Undervaluation, China’s Surplus, and the US Trade Deficit August 2010

Book: China's Strategy to Secure Natural Resources: Risks, Dangers, and Opportunities July 2010

Testimony: China's Exchange Rate Policy and Trade Imbalances April 22, 2010

Policy Brief 10-7: The Sustainability of China's Recovery from the Global Recession March 2010

Testimony: Correcting the Chinese Exchange Rate: An Action Plan March 24, 2010

Paper: Submission to the USTR in Support of a Trans-Pacific Partnership Agreement January 25, 2010

Paper: China Energy: A Guide for the Perplexed May 2007

Book: US-China Trade Disputes: Rising Tide, Rising Stakes August 2006

Working Paper 11-14: Renminbi Rules: The Conditional Imminence of the Reserve Currency Transition September 2011

Testimony: A Muscular Multilateralism to Engage China on Trade September 21, 2011

Peterson Perspective: Legislation to Sanction China: Will It Work? October 7, 2011



© 2014 Peter G. Peterson Institute for International Economics. 1750 Massachusetts Avenue, NW.
Washington, DC 20036. Tel: 202-328-9000 Fax: 202-659-3225 / 202-328-5432
Site development and hosting by Digital Division