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1.Market Observations

23 Jan 2016 (AFR) – Don’t panic: the signs are not what they seem – The problem of misreading the signs on China’s economy

(23 January 2016, AFR, p17, by James Laurenceson)

‘China’s leaders aren’t exactly hands-off when it comes to information flows.’

‘Since the Shanghai sharemarket burst last June, there’s been a striking divergence in positions taken on the direction of China’s economy. In the first few weeks of 2016 this divergence has only grown. It’s those who have been studying China’s economy the longest, such as Justin Lin at Peking University in Beijing and Nicholas Lardy at the Peterson Institute for International Economics in Washington, who seem the least panicked.  Here’s what they know that many other commentators are missing.’

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