Aprominent Chinese economist has suggested there are discrepancies in China’s official data, questioning the true state of the world’s second-largest economy.
The critique by Gao Shanwen, chief economist at SDIC Securities and a former official at China’s central bank, comes as many economists question China’s officially reported figures and as the country continues to grapple with a property sector crunch, high youth unemployment and a range of other issues.
China reported GDP growth of 5.2 percent last year and set a target of around 5 percent for 2024. However, the People’s Daily, a state-run newspaper, recently tempered expectations by emphasizing there is no need to “worship speed.”
One area of concern is the relationship between GDP growth and employment. Gao noted that before the pandemic, economic growth reliably translated into increased urban employment. However, he said this correlation has broken down in recent years.
“If we think the employment data is credible, then economic growth is too high,” he said. “If we think the economic growth data is credible, then the employment data is too low.”
Gao also pointed to irregularities in consumption and investment trends.
Chinese economist doubts official statements on Chinese economy
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