Thursday, September 15, 2016
How should China rationally and efficiently investing in infrastructures?
ANBOUND
Several scholars from the Oxford University, United Kingdom have recently published a research paper mentioning that China is sliding towards a national financial and economic crisis caused by infrastructure. Anbound research team believes that this point of view is unfair and does not provide comprehensive analysis of the problem. Despite China's inefficiencies in infrastructural investment, the domestic economic situation still requires certain scale of investment in infrastructures. On the other hand, the government should control the scale of infrastructural investment, rationally arrange its distributions and pay high attention in its liability method and scale. At the same time, to deepen the investment and financing system, more resources should be allocated to sectors with shortcomings to drive the supply-side structural reforms.