China's Inconsistent Economic Policies Lead to Stock Market Losses, Damaging Confidence
• China's economic policymaking has been inadequate and skittish lately, as evidenced by the government backtracking on video game regulations and failing to cut interest rates.
• These missteps have led to over $1 trillion in losses in China's stock markets this year, damaging confidence.
• There are also inconsistencies like halting infrastructure projects while trying to provide stimulus, contributing to fiscal austerity.
• Uncertainty around government regulations and support for the struggling property market is further weighing on the economy.
• Despite government attempts to reassure markets, stocks keep falling, signaling doubts about China's economic prospects and policy response.