Opening China's inflation floodgates
As coal prices soar on the devastating Queensland floods China's inflationary pressures will only get worse, increasing the risk that Beijing will be forced to slow the economy too sharply.
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Comments PolicyHappy New Year Karen. The risk of inflation increases greatly when the workforce is fully employed and industries are turning at full capacity, but are these concepts applicable to China? (See Opening China's inflation floodgates, January 5).
And to some extent, can China print some paper (QE) and the National Development and the Reform Commission (NDRC) published a counter notice instructing coal producers to raise key power coal contract price for a three months limited time.