China’s economy is a mess. Why aren’t firms going under?
The government’s desire to avoid bankruptcies is another drag on growth
Evergrande is fighting for its life. On October 30th the property developer was granted its fifth, and probably final, stay of liquidation by a court in Hong Kong. Yet the situation on the mainland is a little more comfortable: the firm’s representatives have not even had to visit a courtroom. This is not unusual. Despite the many horrors visited upon China’s property sector, an industry publication reports that just 308 of the country’s 124,665 developers declared bankruptcy last year.
Explore more
This article appeared in the Finance & economics section of the print edition under the headline “Indestructible”
Finance & economics November 4th 2023
- Donald Trump’s second term would be a protectionist nightmare
- American banks now offer customers a better deal
- What a third world war would mean for investors
- Investors are paying close attention to the world’s safest assets
- China’s economy is a mess. Why aren’t firms going under?
- How Japan poses a threat to the global financial system
- The Middle East’s economy is caught in the crossfire
From the November 4th 2023 edition
Discover stories from this section and more in the list of contents
Explore the editionMore from Finance & economics
Europe could be torn apart by new divisions
The continent is at its most vulnerable in decades
How corporate bonds fell out of fashion
The market is at its hottest in years—and a shadow of its former self
An American purchase of Greenland could be the deal of the century
The economics of buying new territory
China’s markets take a fresh beating
Authorities have responded by bossing around investors
Can America’s economy cope with mass deportations?
Production slowdowns, more imports and pricier housing could follow
Would an artificial-intelligence bubble be so bad?
A new book by Byrne Hobart and Tobias Huber argues there are advantages to financial mania
