Is the Chinese Economy Well Positioned to Fight the COVID-19 Pandemic? the Financial Cycle Perspective

Ding Liu (), Weihong Sun and Xuan Zhang

Emerging Markets Finance and Trade, 2020, vol. 56, issue 10, 2259-2276

Abstract: This paper conducts a time-frequency analysis of the macro-financial variables in China to assess its resilience in fighting the coronavirus pandemic (COVID-19). We find that the Chinese business and financial cycles over the short, medium, and long terms all are in, or close to, the contraction phase before the COVID-19 outbreak. Meanwhile, the Chinese economy has decoupled from the global financial cycle since 2015. These results suggest that China may be better positioned than other emerging economies to win the war against the pandemic. However, extraordinary macroeconomic policies are still needed to mitigate the pandemic-induced economic meltdown.

Date: 2020
References: Add references at CitEc
Citations: View citations in EconPapers (28)

Downloads: (external link)
http://hdl.handle.net/10.1080/1540496X.2020.1787152 (text/html)
Access to full text is restricted to subscribers.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:mes:emfitr:v:56:y:2020:i:10:p:2259-2276

Ordering information: This journal article can be ordered from
http://www.tandfonline.com/pricing/journal/MREE20

DOI: 10.1080/1540496X.2020.1787152

Access Statistics for this article

More articles in Emerging Markets Finance and Trade from Taylor & Francis Journals
Bibliographic data for series maintained by Chris Longhurst ().