China’s Struggle with Deflation
China currently grapples with a severe economic challenge. The nation faces corrosive deflation that threatens its economic stability. Prices are falling, which can lead to reduced consumer spending. This situation is alarming for the government as it tries to stimulate growth.
Additionally, tariffs imposed by the Trump administration exacerbate the situation. These tariffs threaten to block trade, creating further challenges for Chinese workers and businesses. The combination of deflation and tariffs makes recovery difficult. As the government seeks solutions, the implications for workers remain severe. They are likely to bear the brunt of these economic pressures.
