Part 7/9:
Furthermore, the recent inflation figures cast doubt on the CCP's stimulus measures, indicating they have not been sufficient to invigorate the economy. While traditional remedies for deflation could involve direct fiscal stimulus—such as cash handouts—the CCP has historically been reluctant to adopt such policies, fearing they may encourage laziness among the populace.
Lastly, the erosion of consumer confidence jeopardizes domestic demand, compelling China to rely more heavily on foreign demand and exports for economic growth. Given the global economy's sluggish momentum and geopolitical tensions, particularly with the U.S. steering efforts to curtail imports from China, a once-reliable growth strategy now faces considerable headwinds.