I'm still waiting for the "China set to collapse" outcome. For the better part of 20 years the so called smartest people out there have claimed a collapse is just around the corner. It hasn't yet played out, and I wouldn't hold your breath today either.
All of the current weakness in China is the result of policy steering the country away from Keynesian spending. No question, following such a path has an impact in the short term. It should, however, put China on a much stronger fiscal foundation over time.
