China's Growth Target Is Too High, Economist Joske Says

The video discusses the economic challenges faced by Beijing, focusing on the trilemma and the need for macro policy stability. It highlights the risks associated with high growth targets and excessive credit growth, particularly in the financial and shadow banking sectors. The impact of these factors on foreign exchange reserves is examined, along with the political climate and leadership consistency in China.

What is the primary macroeconomic issue discussed in the first section?

• Trade deficits

• Low employment rates

• High growth target

• High inflation rates

What is a potential consequence of continued credit growth mentioned in the second section?

• Higher employment rates

• Risks in the shadow banking sector

• Strengthened currency value

• Increased foreign investments

What financial risk is associated with defending both a high growth target and foreign exchange reserves?

• Decreased foreign investments

• Higher interest rates

• Increased inflation

• Depletion of foreign exchange reserves

What is the political situation of Xi Jinping as discussed in the third section?

• He is planning to change his policies

• He has limited political threats

• He is likely to be removed soon

• He faces strong political threats

Despite discontent, what has Xi Jinping consistently supported?

• Maintaining the growth target

• Reducing credit growth

• Increasing foreign investments

• Lowering the growth target