China in “huge shock”

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One of China’s top statistics officials said the coronavirus outbreak has come as a “huge shock” to the economy, a rare recognition of the cost of the government’s Covid Zero strategy, but added that it will only have a short-term impact on production and people’s lives.

Sheng Laiyun, deputy chief of the National Bureau of Statistics, said the effects will recede gradually with Covid control measures and other polices, and “the economy is expected to reach an inflection point of recovery,” according to an interview with the official Xinhua News Agency published Thursday.

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About the author
David Llewellyn-Smith is Chief Strategist at the MB Fund and MB Super. David is the founding publisher and editor of MacroBusiness and was the founding publisher and global economy editor of The Diplomat, the Asia Pacific’s leading geo-politics and economics portal. He is also a former gold trader and economic commentator at The Sydney Morning Herald, The Age, the ABC and Business Spectator. He is the co-author of The Great Crash of 2008 with Ross Garnaut and was the editor of the second Garnaut Climate Change Review.