Bouncing Back

Beijing Review: In recent interviews with Chinese media outlets, you expressed optimism on the prospects of the Chinese economy and predicted a sharp rebound once the virus is under control. Where do you think the resilience of the Chinese economy comes from?

While the Chinese economy has slowed to a virtual standstill in early 2020 due to the impacts of COVID-19, this devastating disease should not impair the underlying strength of the Chinese economy. In my opinion, that strength reflects four key economic transitions: from investment- and export-led growth to consumer-driven growth; from manufacturing to services; from surplus saving to saving absorption and using that drawdown of domestic saving to fund China’s social