China Risks Extended Economic Slump as Xi's Policies Exacerbate Imbalances

China's real estate bubble appears more extreme than Japan's in 1990s. Chinese property valued at 5.5 times GDP vs 4.8 times for Japan.

Private sector drove China's growth miracle but now getting less credit. Xi clipping autonomy of local governments.

Xi's "wolf warrior" diplomacy undermining foreign willingness to do business with China.

Engines of growth - private sector, globalization, regional autonomy - impaired under Xi.

IMF warns of "Japanisation" - prolonged malaise - but China's imbalances worse than Japan's were. Heading same direction as Japan post-1990 bubble.