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Cracks in the Chinese Powerhouse

For years, China's GDP has soared under its hybrid model of a free-market and command economy. But as growth slows and debt levels rise, are cracks forming in this model that Beijing cannot control? Timothy Heath's article, published on December 14th, explores the implications of these economic and political dynamics.

The surprising strength of populist, anti-globalization leaders in the industrial West has underscored the declining prospects for the middle and working classes in the United States and Europe. By contrast, Asian elites and middle class workers are widely regarded as the largest beneficiaries of economic globalization. Despite enviable growth rates, however, Asian economies have their own worries. China’s economy has manifested troubling signs in the form of two major, inter-related threats.

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