Diminishing Returns on Infrastructure Investment: The End of Chinas Growth Miracle

Workers carrying out maintenance on electricity towers which carry the power supply for China’s high speed trains after snowfalls in recent days near Chuzhou, in eastern Anhui Province, China, on Jan. 31, 2018. AFP via Getty ImagesCommentaryChina’s infrastructure-driven growth model, once the engine of its economic rise, is now producing diminishing returns so severe that, without abandoning Beijing’s control in favor of genuine market reforms, China is unlikely ever to surpass the United States economically or in total GDP.