China's economy has been slowing down for years — but it's still growing like it's 2007
- No one really thought that China could maintain double-digit growth forever — especially as incomes started catching up with the West. "Some slowdown was both inevitable as the economy matured, and desirable as part of rebalancing away from over-investment towards consumption," wrote Jessop.
- China's growth has actually been slowing down for some time now. Growth in China peaked in 2007, and has been on a downward trend since 2011. "Crucially, this has not prevented advanced economies from picking up, or global growth from stabilizing," adds Jessop.
- The larger size of China's economy means that even slower growth can mean big increases in demand and global growth. "Indeed, on the official data at least, the increase in China's GDP in 2015 was practically the same as in 2007, even though the annual growth rate had more than halved," points out Jessop.