Video: Stephen Roach's 5 Keys to Maintaining China's Economy
Longtime Asia hand Stephen Roach and prescient short seller Jim Chanos took their ongoing debate over China’s future to the Asia Society in New York on Wednesday night (watch the complete video here).
Roach, former nonexecutive chairman of Morgan Stanley Asia and current Yale professor, made his case that despite numerous headwinds China can continue on a sustainable path of economic growth. Chanos, who famously bet against Enron before it collapsed, warned that a government consisting of “seven men in a room” will not be able to stave off problems ranging from a credit-fuelled property bubble to the continued lackluster performance of the country's stock markets despite GDP growth.
In a debate that came to hinge on whether China’s government can and will implement economic and social reform, bull Roach made news in the U.S. and China by forwarding five key areas of reform that should happen for China’s boom not to go bust. Listen to them in the clip above.