China’s ‘conscientious economist’ goes viral by speaking the truth
Straightforward and critical remarks by Northeast Securities’ chief economist Fu Peng on China’s economy have gone viral on Chinese social media
An outspoken economist has gone viral on Chinese social media as his down-to-earth comments about China’s slowing economy struck a chord with the general public.
Fu Peng, chief economist at brokerage firm Northeast Securities, addressed a slew of issues, including the stock market slump and the real estate crisis, at the 2024 Phoenix Financial Forum for the Greater Bay Area at the start of September.
His straightforward and critical remarks, with Fu having previously only attracted attention within financial circles, quickly circulated across online communities.
Widely shared comments include his vivid illustration of the concept of a middle-class consumption downgrade, by linking consumers’ choice of coffee to the shrinking property market.
“Once property values drop, consumer spending falls rapidly, with middle-class buyers shifting from 40 yuan coffees to 8 yuan ‘buy one, get one free’ deals,” he said at the event, organised by ifeng, a news portal under Hong Kong’s Phoenix TV.
The ‘wealth effect’ brought by real estate has faded, exerting a direct impact on consumption
