Michael Pettis

A discussion of how endogenous flows cause other endogenous flows. ✍️ Michael Pettis @ftopinion 👉On how “a country’s internal imbalance can accommodate its external imbalances.” 🧐”When that happens the accompanying trade deficit is not caused by a surge in investment but…

FT: "“We should not only focus on how much GDP has grown and how many major projects have been built, but also on how much debt is owed,” Xi Jinping told the Central Urban Work Conference." ft.com/content/9c19d2…

How economics teaching became the Aeroflot of ideas ft.com/content/9aabb4… via @ft

With U.S. tariffs looming and trade talks heating up, #China’s in a Catch‑22: #revaluing the #RMB could ease household strain—but could also destabilize its export model. @michaelxpettis explains in his latest @CarnegieChina commentary. carnegieendowment.org/posts/2025/07/…

The IMF's latest External Sector Reports notes that "China and the United States present opposite patterns, with China becoming increasingly central in the international trade network but playing only a modest role in the global finance network, while the United States maintained…

Interesting piece by Marvin Barth. We have our disagreements, but it's rare to find an economist who understands the multiple ways in which accounting identities can create systemic constraints. open.substack.com/pub/thematicma…

A foreign chemicals company manager who asked for anonymity said overcapacity in her sector was evident as early as 2023, yet firms continue to expand. "If money is cheap and abundant, any company thinks it won't go bankrupt and can crush competitors to death."…

Very interesting Bryce Elder piece on daily stock trading patterns in China. ft.com/content/a5db3a…