Rogoff: China Understands It Has a Credit-Fueled Bubble

The transcript discusses the challenges faced by Chinese authorities in managing their economy, particularly in dealing with a credit-fueled bubble and the need to shift focus from loss-making industries to the service sector. It also touches on the role of foreign reserves in stabilizing currency and managing bad debts, highlighting the complexity of economic management in China.

What challenges are the authorities facing in managing the Chinese economy?

What is the significance of the credit-fueled bubble mentioned in the context of the Chinese economy?

How are the authorities attempting to shift the focus of the Chinese economy?

In what ways are the reserves being utilized according to the text?

What role do reserves play in stabilizing the currency in China?