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BackThe "Qiushi" article pointed out that the expected confidence of China's economic micro entities has changed, and the vitality of some fields has weakened.
The "Qiushi" article pointed out that the expected confidence of China's economic micro entities has changed, and the vitality of some fields has weakened.
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自由时报38 minutes agoPolitics2 min readChinaView original

The "Qiushi" article pointed out that the expected confidence of China's economic micro entities has changed, and the vitality of some fields has weakened.

Quick Look

  • The latest article in "Qiushi", a journal of the Communist Party of China, pointed out that China's economy is in a critical period of transition between old and new driving forces.
  • The expectations, confidence and behavioral choices of some micro entities have changed.
  • Enterprises tend to wait and see and dare not expand investment and increase employment.

AI-generated summary

Why It Matters

The article points out that China's economy is in a critical period of accelerating the transformation of new and old driving forces and the transformation of development methods. The problems of strong supply and weak demand and insufficient domestic demand are prominent. There is great downward pressure on consumption and investment growth, and the production and operation difficulties of enterprises in some industries have diverged.

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An article in the latest issue of "Qiushi", a party magazine of the Communist Party of China, talks about China's economy again, admitting that "the expectations, confidence and behavioral choices of some micro entities are changing, and the vitality of some areas has weakened", and pointed out that companies "tend to wait and see, and dare not expand investment or increase employment."

"Qiushi" published on the 1st published an article "Enhancing the power of high-quality development while stimulating social vitality" and signed it as "Commentator of Qiushi Magazine". This article begins with the Political Bureau meeting of the CPC Central Committee held on July 30, which emphasized the need to "enhance development momentum and stimulate social vitality."

Please read on...

The article said that China's economy is in a critical period of accelerating the transformation of new and old driving forces and the transformation of development methods, and the economic operation is facing some difficult challenges. The problems of strong supply and weak demand and insufficient domestic demand are still prominent. There is great downward pressure on the growth rates of consumption and investment. Enterprises in some industries have encountered difficulties in production and operation and have experienced differentiation.

The article pointed out that this reflects that the expectations, confidence and behavioral choices of some micro-subjects are changing, and the vitality of some areas has weakened. Under the combined influence of complex factors at home and abroad, some companies tend to wait and see, afraid to expand investment or increase employment. Some workers tend to seek stability and avoid risks, and dare not easily switch tracks or take risks to start a business. This has led to a slowdown in the flow of resource factors and increased pressure on economic growth.

The article also stated that China's supply of public services such as medical care, elderly care, and childcare still lags behind people's expectations. The cost of living and risks for some families have increased, which also affects the ability and willingness to consume, invest, and start businesses to a certain extent.

In August this year, "Qiushi" magazine published an article titled "How to Treat the 'Temperature Difference' Between Macro Data and Micro Feelings," showing that Chinese officials recognized that there is a contrast in the economy.

Although acknowledging the current many problems in China's economy, Qiushi.com published a commentator's article on the 6th, "Will party management affect economic and social development?" to refute the public's doubts that comprehensive and strict party governance will affect economic vitality. "Comprehensive and strict governance of the party" was proposed by Xi Jinping, General Secretary of the Communist Party of China. The main agenda of the Fifth Plenary Session of the CPC Central Committee scheduled to be held in October is to study "several major issues in promoting comprehensive and strict governance of the party."

This comment on Qiushi.com said that some people believe that "comprehensive and strict governance of the party is too tight, and excessive control over food and drink, and excessive efforts in anti-corruption have affected economic and social development." Some people believe that "management of the party is too strict, constraining the hands and feet of party members and cadres, and affecting the enthusiasm of officials to start businesses." These "misconceptions" arise because of the skewed understanding of the relationship between party management and economic and social development.

What to Watch

AI outlook — possibilities, not facts

  • The Fifth Plenary Session of the CPC Central Committee will study a number of major issues in promoting comprehensive and strict governance of the party, and may propose policies and measures to balance party building and economic development.

    Likely · Within months

Open Questions

  • What specific policies and measures have been proposed to boost the confidence of market entities?
  • What balancing measures will be taken to promote economic development through comprehensive and strict governance of the Party?
  • How will the shortfall in public services, especially in medical care, elderly care and childcare, be made up for?

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This article was originally published by 自由时报.

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