Can China Avert Crisis?

China's economy is wobbling, and a major shift in policy toward public spending is about to change history

The swank bars and restaurants of Shanghai are filled with nervous talk these days about how the bottom is falling out of the local real estate market. Shanghai's five-year construction binge soaked up $18 billion and astounded the world with its audacity. But now the city touted as the financial capital of the world's next superpower is filled with half-empty office towers and the concrete shells of apartment buildings. It may be Asia's biggest property glut yet.

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