Killing Two Birds With One Stone in China

killtwobirdswithonestone

http://www.bloomberg.com/news/2014-01-24/china-bank-regulator-said-to-issue-alert-on-loans-to-coal-miners.html

Newsflash…….

China Bank Regulator Said to Issue Alert on Coal Loans

China’s banking regulator ordered its regional offices to increase scrutiny of credit risks in the coal-mining industry, said two people with knowledge of the matter, signaling government concern about possible defaults.

evilemoticon

China has two related problems. A lending bubble in something called the Shadow Banking system is creating too much environmental pollution. By cutting the lending bubble to the source of the pollution both problems are addressed at the same time.

Ancient Chinese proverb say “Why use scalpel, to do economic and environmental policy, when big stone is more effective?”

 

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About isabellew9873

My name is Isabelle Whitehead. I was a member of the Bolton School group on the Operation Wallacea 2015 expedition to Peru.

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