Tian Zhu

Email: ztian@ceibs.edu

Tian ZhuTian Zhu is a Professor of Economics and Chair of the Department of Economics and Decision Sciences at China Europe International Business School. Before joining CEIBS, he taught at the Hong Kong University of Science and Technology. Dr Zhu’s recent research has been published in various academic journals including Economics of Transition, International Economic Review and Journal of Financial Intermediation. He has also published op-ed articles in popular media such as the Financial Times and the Wall Street Journal.

Papers Published in World Economics:

Poor Economic Statistics Fuel China’s Low Consumption Myth
Authors: Jun Zhang & Tian Zhu

The generally held belief that China’s consumption is too low is a myth based on inadequate theory, a misreading of official statistics and the use of market exchange rates for making international comparisons. Chinese official statistics underestimate consumption expenditure on housing, they omit consumption paid for as benefits by the corporate sector, and there are a number of problems with the household expenditure surveys employed. An adjustment for statistical issues suggests that the rate of consumption is 60–65% of GDP, not the 48% based on the widely quoted official statistics figures, and is quite similar to the level experienced by other East Asian economies.

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