Heavily indebted Chinese property developer Evergrande hit headlines last week as the world waited to see if the company would cause China’s ‘Lehman moment’. And while that now looks unlikely, observers say the situation marks a turning point in China's rapid growth model.
Professor Jason Young says the Chinese economy is transitioning, but what shape it will take is unknown - with some parties pushing a neo-Maoist line, while others for a more standard socialist economy. Whatever the case, Professor Young says we should be paying close attention.
Professor Young is the director of the New Zealand Contemporary China Research Centre and Associate Professor in International Relations at Victoria University of Wellington.