China enjoyed a growth rate of more than 10 per cent from 2000-10. But its economy is now in trouble. Yesterday’sMON official announcement that growth slowed to 7.7 per cent in the previous quarter is a sign that the era of double-digit expansion is over. The potential for infrastructure investment has contracted, returns on assets have fallen, export growth is slowing and overcapacity has soared. The old engine of growth is spluttering.
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