Subject The article considers the current situation in the economy of China that exhibits crisis aggravation by many key parameters of economic development. Objectives The aim is to analyze trends in China's economic development, identifying the key economic and financial imbalances and their causes. Methods The study relies on the analysis of the mechanism, under which the growth of indicators of China's economic development is created artificially, owing to rising prices for real property, growing value of shares, and increasing surplus production capacity through money injections in the form of investment by the State, additional liquidity of banks, etc., thus forming the critical crisis imbalances. Results We formulate the basic components of 'inflating' the giant financial 'bubble' in the stock market of China, which led to the price collapse in summer 2015. Our conclusion is that the financial and economic crisis in the Chinese economy is of systemic nature. It involves all components of the financial sector, which, in turn, are closely linked to industrial and commercial sectors, and all together, they are connected with the social sphere. China needs to replace the factors that previously stimulated the economic growth, especially the declining external demand for products of Chinese enterprises. Conclusions The exhausted potential of the previous model of China's economic development will lead directly to a revision of a number of infrastructure projects, and it will slow down Russia's exports to China. It is necessary to identify possible vectors of supply and demand of Russia and China.
Keywords: China, world economy, finance, crisis, debt
References:
Tsvetkov V.A. Tsikly i krizisy: teoretiko-metodologicheskii aspekt [Cycles and crises: a theoretical and methodological aspect]. Moscow, Nestor-Istoriya Publ., 2013, 504 p.
Shevchenko I.V., Litvinova E.N., Nikulina O.V. et al. Mezhdunarodnyi biznes: teoriya i praktika upravleniya [International business: theory and practice of management]. Krasnodar, KubSU Publ., 2013, 435 p.
Ageev A., Loginov E., Raikov A. Izmenenie strategii operirovaniya dollarom: zapusk SShA novogo kreditno-investitsionnogo tsikla vo vzaimosvyazi s valyutnymi voynami [Changing the strategy of operating with dollar: the US launch a new credit and investment cycle in conjunction with currency wars]. Ekonomicheskie strategii = Economic Strategies, 2015, no. 3, pp. 2–17.
Drobyshevskaya L.N., Shevchenko K.I. Global'naya finansovaya arkhitektura: perspektivy formirovaniya novykh finansovykh tsentrov [The global financial architecture: prospects for creating new financial centers]. Ekonomika: teoriya i praktika = Economics: Theory and Practice, 2010, no. 2, pp. 4–11.
Ageev A.I., Kuroedov B.V. Osobennosti primeneniya metodologii strategicheskoi matritsy pri prognozirovanii razvitiya gosudarstv (na primere Rossii i Kitaya) [Specifics of applying the strategic matrix methodology to predict the development of States (Russia and China case studies). Moscow, Institute for Economic Strategies Publ., 2008, 296 p.
Tsvetkov V.A., Anosov A.V., Zoidov K.Kh. [Social and economic policy of the national interest under integration and global instability]. Migratsionnye mosty v Evrazii. Sb. m-lov VI mezhdunarodnoi nauchno-prakticheskoi konferentsii [Proc. 6th Int. Sci. Conf. Migration Bridges in Eurasia]. Moscow, Ekon-inform Publ., 2014, pp. 161–166.
Tsvetkov V.A., Anosov A.V., Zoidov K.Kh. Tsiklichnost' dinamiki finansovogo rynka v mirovom ekonomicheskom prostranstve v usloviyakh nestabil'nosti [The cyclical pattern of the financial market behavior in the world economic space under instability]. Regional'nye problemy preobrazovaniya ekonomiki = Regional Problems of Transforming the Economy, 2014, no. 11, pp. 173–183.
Loginov A.E. Problemy upravleniya rynochnoi ekonomikoi v usloviyakh kriticheskoi nestabil'nosti global'nykh tovarnykh i finansovykh rynkov [Problems related to market economy management under critical instability of global product and financial markets]. Мoscow, MEI of RAS Publ., 2009, 117 p.
Simonyan S.M., Shevchenko I.V. Vliyanie sanktsii, vvedennykh stranami zapada protiv Rossii, na ekonomiku strany i mira [The impact of sanctions imposed by Western countries against Russia on the country's and the world economy]. Ekonomika ustoichivogo razvitiya = Economy of Sustainable Development, 2014, no. 4, pp. 207–211.
Saifieva S.N. Osobennosti rossiiskoi inflyatsii: istoricheskii aspect [Specifics of the Russian inflation: a historical aspect]. Regional'nye problemy preobrazovaniya ekonomiki = Regional Problems of Transforming the Economy, 2014, no. 6, pp. 24–30.
Lukin V.K., Loginova M.M., Derkach A.K. Sovershenstvovanie elektronnoi infrastruktury finansovykh operatsii dlya vzaimodeistviya s mirovymi finansovymi tsentrami [Improving the electronic infrastructure of financial transactions to interact with global financial centers]. Aktual'nye problemy gumanitarnykh i estestvennykh nauk = Topical Issues of Humanities and Sciences, 2013, no. 9, pp. 119–121.
Raikov A.N. Konvergentnoe upravlenie i podderzhka reshenii [Convergent management and support to decisions]. Мoscow, IKAR Publ., 2009, 245 p.
Loginov E.L., Raikov A.N., Loginova V.E. Modelirovanie rezul'tatov snizheniya tsen na neft' i sokrashcheniya zolotovalyutnykh rezervov: varianty konfigurirovaniya mer finansovo-ekonomicheskoi politiki Rossii [Modeling the results of oil price lowering and foreign exchange reserves reduction: the configuration options of measures of the Russian financial and economic policy]. Regional'nye problemy preobrazovaniya ekonomiki = Regional Problems of Transforming the Economy, 2014, no. 11, pp. 22–27.
Saifieva S.N., Ermilina D.A. Finansovye istochniki vosproizvodstva osnovnogo kapitala [The financial sources of capital assets reproduction]. Ekonomist = Economist, 2012, no. 11, pp. 21–37.
Derkach A.K. Mirokhozyaistvennaya adaptatsiya form i metodov privlecheniya dolgosrochnykh investitsionnykh sredstv dlya realizatsii investitsionnykh proektov [The global economic adaptation of forms and methods to attract long-term investment funds for investment projects implementation]. Aktual'nye problemy gumanitarnykh i estestvennykh nauk = Topical Issues of Humanities and Sciences, 2013, no. 9, pp. 117–119.
Tsvetkov V.A., Zoidov K.Kh., Medkov A.A. Formirovanie novoi evolyutsionnoi modeli transportno-kommunikatsionnogo vzaimodeistviya Rossii i Kitaya [Building a new evolutionary model of the transport and communication cooperation between Russia and China]. Мoscow, CEMI of RAS Publ., 2013, 231 p.
Loginov E.L., Raikov A.N. Informatsionno-setevye mekhanizmy upravleniya protsessami sotrudnichestva stran BRIKS v strategicheskikh sferakh [Information and network mechanisms to manage cooperation processes of BRICS States in strategic areas]. Mezhotraslevaya informatsionnaya sluzhba = Intersectoral Information Service, 2014, no. 4, pp. 5–11.
Ageev A.I. Dinamika i struktura global'nykh riskov [Dynamics and structure of global risks]. Strategiya grazhdanskoi zashchity: problemy i issledovaniya = Strategy of Civil Protection: Problems and Research, 2013, vol. 3, no. 2, pp. 7–8.
Petrakov N.Ya. K voprosu ob integratsii Rossii v mirovoe soobshchestvo [On Russia's integration into the world community]. Innovatsii = Innovation, 2010, no. 10, pp. 30–33.
Zoidov Z.K., Loginova V.E., Shevchenko K.I. Puti formirovaniya integrirovannoi rynochnoi infrastruktury i regulirovaniya proizvodstva i tovarooborota v ramkakh EAES [Ways of forming the integrated market infrastructure and regulation of production and sales turnover within the EEU]. Мoscow, MEI of RAS Publ., 2015, 141 p.
