Structural Change Underway in China Property: McCormack

The video discusses China's credit rating, which has remained stable at A+ since 2007. It explores factors that could affect this rating, such as contingent liabilities and the debt-to-GDP ratio. The video clarifies the measurement of government debt and the challenges in distinguishing public and private sectors. It highlights China's focus on de-risking rather than deleveraging and notes positive developments over time. The video also examines structural changes in China's property sector, emphasizing that these changes are intentional and not temporary.

What has been the status of China's credit rating since 2007?

• A+ stable

• B+ stable

• B- stable

• A- stable

What is the estimated government debt ratio in China?

• 40%

• 50%

• 60%

• 70%

What is the government's focus regarding China's economy-wide debt?

• Deleveraging

• Reducing GDP

• Derisking

• Increasing debt

How does the government view the changes in the property sector?

• As an unintended consequence

• As a structural change

• As a cyclical change

• As a temporary issue

What is the government's intention regarding the property sector's contribution to growth?

• Increase its contribution

• Maintain its current level

• Reduce its contribution

• Eliminate its contribution