Key facts
- Economists Yu Yongding and Huang Yiping urged increased fiscal spending to boost China's domestic demand.
- They also called for greater policy support to enhance consumer confidence and purchasing power.
- The economists suggested increasing leverage to aid local governments and businesses in repairing their balance sheets.
- The comments were made at the Caixin Summer Summit in Hangzhou.
Two prominent Chinese economists have urged the central government to implement greater fiscal support measures to stimulate domestic demand, enhance consumer confidence, and bolster purchasing power. Yu Yongding, a member of the Chinese Academy of Social Sciences, and Huang Yiping, dean of the National School of Development at Peking University, made these calls during a discussion on China's economic challenges at the Caixin Summer Summit in Hangzhou.
In addition to boosting consumer spending, the economists also emphasized the need to increase leverage to assist local governments and businesses in repairing their financial health.