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Opinion
Michael Schuman

China Can't Postpone the Pain Forever

If history is any guide, the country is headed for a major hangover.
More than 400,000 steelworkers could lose their jobs.

More than 400,000 steelworkers could lose their jobs.

Source: STR/AFP/Getty Images

All of the pieces are in place for a financial crisis in China. The currency is weakening and, if left to the market, would likely plunge further. Capital outflows have hit record levels. Reserves are in retreat. A dramatic selloff on Shanghai’s stock market has wiped out all the gains from 2015’s bull run. The leadership, usually lauded for its sagacity, has at times seemed befuddled about what to do.

QuickTake China's Pain Points