Business Case Studies, Macroeconomics Case Study, China’s Banks and The Overheating Economy

print page
Tell A Friend
Bookmark
 

Case Categories

Macroeconomics Case Study

IBS CDC IBS CDC IBS CDC IBS CDC RSS Feed
Case Title:

China’s Banks and The Overheating Economy

Publication Year : 2004

Authors: A. Sahai, G. Srikanth

Industry: Banking, Insurance and Financial Services

Region:CHINA

Case Code: MEBE0018

Teaching Note: Not Available

Structured Assignment: Not Available

Buy This Case Study
OR





Abstract: China embarked on its ‘open door policy’ in 1978 under the leadership of Deng Xiaoping. The purpose was to bring about a transition in its centrally planned economy towards a market economy. The banks were supposed to play a major role in carrying out the reformist agenda of the country. Since then the country has achieved a phenomenal Gross Domestic Product (GDP) growth rate making it the fastest growing economy of the world.

This case study was primarily targeted at understanding the affect of Chinese economic reforms on the country’s banking sector. The case also helps in analysing the role of banking system in implementing monetary policy and its reaction to spiraling inflation.

Pedagogical Objectives:

  • To understand and analyse the process of economic reforms in China and their effectiveness on the banking sector
  • To study about monetary policy and money multiplier effects on the economy
  • To analyse the reasons for the overheating of the economy
  • To study the measures taken by the government in order to restructure the banking system.

Keywords : China's overheating economy; Chinese banks; People's Bank of China; State-owned enterprises; Gross domestic product (GDP); Private domestic savings; Liquidity and easy credit; Non-performing loans (NPLs); Guanxi; Inflation rate and interest rates

Recently Bought Case Studies

    Recently Bought Case Studies
advertisement

    Executive Interviews

  • David ConklinDavid Conklin

    David Conklin, is a professor at the Richard Ivey School of Business
    Speaks on Government and Business
  • Lord Meghnad DesaiLord Meghnad Desai

    Lord Meghnad Desai, is an Indian-born British economist and Labor politician
    Speaks on Government and Business
  • Vijay GovindarajanVijay Govindarajan

    Vijay Govindarajan, is widely regarded as one of the world’s leading experts on strategy and innovation
    Speaks on Reverse Innovation
  • View All Executive Interviews»






Contact us: IBS Case Development Centre, Survey No. 156/157, Dontanapalli Village, Shankerpalli Mandal, Ranga Reddy District, Hyderabad-501504, Andhra Pradesh, INDIA, Phone: 08147-236660/61/62/72, Fax: 08147-236653,E-mail: casehelpdesk@ibsindia.org

©2003-2013 IBS Case Development Centre. All rights reserved. | Careers | Privacy Policy | Terms of Use | Disclosure | Site Map xml sitemap