A hard landing in China could expose a large number of countries to unforeseen consequences and dash hopes of a global recovery. China’s plight also drives the final nail into the coffin of the once fashionable theory of “decoupling”, which argued for an autonomous economic sphere around China that could soar even as the US economy went into a tailspin.
In the dark days of 2008-09, following the collapse of major financial institutions, China stood out as a beacon of hope, the biggest engine of global growth. Buoyed by Beijing’s $586-billion economic stimulus package in November 2008, the Chinese economy bounced back and was soon growing at its customary 8 per cent clip.
looking beyond borders 