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SCOTT BARLOW

Something is rotten in the state of Chinese economic data

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Is official economic data from China reliable? That’s a very 2013 kind of question. It was an issue that lurked in the background during the pre-financial crisis years, but at the time, investors were content to count their profits from China-related resource investments and pray for the best. However, the skepticism has intensified over the past year. After parsing the numbers, Toshiya Tsugami, a former 2002 Senior Fellow at Japan’s Research Institute of Economy, Trade and Industry, stated outright last week that recent data has reached fictional proportions.