China Economy May Grow 6.1% in 2019, AXA Investment's Yao Says

The video discusses the government's strategy to balance short-term growth with long-term sustainability, focusing on fiscal policy and tax cuts. It highlights the cautious approach to monetary policy and the potential impact on economic growth. The importance of consumption and job growth is emphasized, given their significant contribution to GDP. The challenges of financing tax cuts and their net impact on the economy are also explored.

What is the government's approach to balancing short-term growth and long-term sustainability?

• Increasing credit and liquidity stimulus

• Focusing on fiscal policy and tax cuts

• Raising interest rates

• Expanding monetary policy aggressively

How does the government plan to finance the tax cuts?

• Through higher interest rates

• By printing more money

• By reducing government spending elsewhere

• By increasing foreign investments

What is the expected impact of the cautious stimulus package?

• It will have no impact on economic pressures

• It will increase economic pressures

• It will partially offset economic pressures

• It will fully offset economic pressures

Why is consumption considered a major engine for China's economy?

• It is driven by government spending

• It is less important than exports

• It is not a significant factor

• It contributes 70-80% of GDP growth

What could negatively impact the labor market and consumption in China?

• Increased domestic demand

• Higher government spending

• Stronger currency

• Trade issues with the US