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Wednesday, November 06, 2013
Anbound: Government Should Alert on the Mismatched Role Pertaining to Overcapacity
ANBOUND

Overcapacity is seen as a critical issue in China and the central government is the main driver behind the pressure. Anbound think tank scholar suggested that since there is little achievement in solving the issue of overcapacity after 10 years of effort, it is better for the macroeconomics control and regulations to play the role as a judge instead of interfering the market's supply-demand. If the expansion of product capacity and overcapacity are managed by the government, then it will not only cause ups and downs in the market but also mismatched role of the government.

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