While politicians in Europe, the US and most other developed economies struggle with the prospect of another downturn, China’s leaders are facing the opposite problem – how to stop their domestic economy from roaring ahead too quickly.
In an article on Thursday, Wen Jiabao, Chinese premier, said reining in soaring consumer prices was the top priority for Beijing, as it had been for most of this year, and that China’s “macro-control and adjustment direction cannot be changed”.
Most analysts believe Mr Wen is signalling Beijing’s reluctance to unleash another enormous stimulus package such as the one it launched in late 2008, and that China’s leaders feel the economy is robust enough for them to continue to dampen growth.
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