In China - Don't Say Deflation

China's struggling economy and potential recovery strategies are examined, noting the pressure on Chinese economists to avoid negative commentary. Consumption has not rebounded as expected post-lockdowns, and the property sector, a major GDP driver, faces difficulties with developers struggling to meet obligations. Youth unemployment data is suspended after consecutive monthly increases, and exports are declining. The Chinese government may consider infrastructure spending to stimulate growth, but is hesitant due to existing debt. The analysis suggests China's growth model needs to shift from investment to consumption, which would require politically challenging wealth reallocation. Despite these challenges, a Chinese economic crisis is unlikely to trigger a global collapse due to China's economic isolation.