Abstract
Opening the capital account is like opening a can of worms for Beijing’s senior leaders, as they would need to implement a whole range of deep-rooted structural reforms that could threaten the stability of the Communist Party. Why does China still want to walk into the Impossible Trinity and “suffer” the consequences? Do the Chinese leaders know what challenges and risks they are facing? One potentially detrimental risk is massive capital flight, which has its structural roots in the corrupted system that China’s senior leaders are aiming to rectify.
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© 2015 Chi Lo
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Lo, C. (2015). Opening a Can of Worms. In: China’s Impossible Trinity. Palgrave Macmillan, London. https://doi.org/10.1057/9781137538796_2
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DOI: https://doi.org/10.1057/9781137538796_2
Publisher Name: Palgrave Macmillan, London
Print ISBN: 978-1-349-55597-0
Online ISBN: 978-1-137-53879-6
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