Part 5/8:
Crucially, the underlying demographic crisis exacerbates the debt situation. China’s birth rate has dropped alarmingly over the last 70 years, with the country recording a mere 9 million births in 2023—the lowest since 1762. Comparatively, while the United States faces its own demographic challenges, it benefits from immigration, which maintains population levels. China, devoid of a significant immigration influx, is seeing its population decline—a reality that poses a stark threat to economic growth and labor supply.