Treasury official says China should spend more
US Treasury Undersecretary fro International Affairs Nathan Sheets says China should use its fiscal policy resources to cushion the effects of structural reforms and the reduction of excess industrial capacity.
The way the wind is blowing on government spending is clear: More of it. A few countries -- Canada and Japan among them -- are embracing fiscal stimulus and others won't be far behind. The holdouts are Germany and the US Republican party.
If Trump wins, I think the US will spend massive amounts in the next few years. If it's Hillary then the current death-blockade will continue. The only hope for Eurozone fiscal spending is to someone get rid of Merkel.
