Comments on: Economic stimulus Beijing-style: I treat, you pay Thu, 21 Jul 2016 07:57:19 +0000 hourly 1 By: Grand Hu Fri, 20 Mar 2009 12:02:06 +0000 The situations that Beijing and Washington are now confronting are not exactly the same. Washington is so desperate to save a bunch of troubled financial institutions and bail out fragile domestic industries like auto manufactoring, it is not possible to allow states,which are also likely to be broken,to share the bill or to order banks,which are the very ones to be saved, to loan more. China,however,does not have the urgency to lift its financial system out of mud, considering the fact that its financial institutions suffer little in the crisis.In this case, China’s stimulus plan is more efforts to offseting the consequence of a plumping foreign demand than the last resort to save the country.
Based upon the above, it is not so appropriate to compare two countries’ stimulus packages if what they want to stimulate are not the same thing.