This GDP growth slowdown, albeit to what remains an enviably buoyant pace, has caused some angst on global markets. China, after all, is the second-largest economy on earth. With the US still sluggish, the emerging markets – China the powerhouse among them – have replaced America as the world's economic locomotive. The "non-West" now accounts for half of all commerce and a massive four-fifths of global growth. If China tanks, we're in for another worldwide slump.
I remain optimistic, though, about the medium-term outlook for the People's Republic. Beijing has responded to signs of a downturn with a raft of "pro-growth" measures – aggressive interest rate cuts, liquidity injections and more state-directed loans.
