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China inflation: no risk of deflationary spiral, but vigilance and caution needed at crucial juncture to avoid Japanification

Posted on AllSides August 9th, 2023
From The Center
Bloomberg
ANALYSIS

China’s first drop in consumer inflation for more than two years has given Beijing the daunting task of fending off chronic deflationary pressure, testing its toolbox to avoid imitating Japan’s so-called lost-decade.

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https://www.scmp.com/economy/economic-indicators/article/3230450/china-inflation-consumer-prices-fall-first-time-2021-amid-low-inflation-trap-warning

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