Xi Jinping wants maximum commitment from officials for economic growth, and we will see some good things
Chinese President Xi Jinping has appealed to officials to help keep the country on track with this year's growth target.
It is the first time Xi has spoken out on the economy since October 18, when China recorded its lowest quarterly economic growth since the first quarter of last year. The 4.6% growth figure in the third quarter raises questions about whether the world's second-largest economy can still reach its 5% growth target this year.
Xi's comment means that achieving the goal is still a political goal of primary importance, to which you sacrifice everything, and this is a clear sign of what will happen:
“We must implement all existing and new policies, make effective efforts in the past two months, and strive to achieve the annual economic and social development goals for the current year,” Xi said at a senior study session on Tuesday. party officials, state broadcaster CCTV reported.
The meeting was attended by all members of the Politburo Standing Committee, the highest decision-making body, and the party's provincial leaders.
His speech follows a series of policy announcements over the past month, including cuts to mortgage rates for existing homes, reductions in the reserve requirement ratio and swap transaction facilities to support the stock market.
This strong government commitment to growth is positive on the one hand, but on the other it can present contraindications, the main of which is an excess of zeal on the part of officials, especially in the activity of accounting reporting: this means that we will see non-rational behavior , but aimed at maximizing short-term growth, and some likely creative accounting. When your career, your income and your prestige come to depend on a small number, the provincial official will hardly be able to resist the temptation to improve the numbers.
However, I admit that I would like to hear a similar incentive also in Italy and aimed at everyone, even the judiciary.
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This is a machine translation of a post published on Scenari Economici at the URL https://scenarieconomici.it/xi-jinping-vuole-limpegno-massimo-dei-funzionari-per-la-crescita-economica-e-ne-vedremo-delle-belle/ on Wed, 30 Oct 2024 12:00:17 +0000.