Part 4/9:
The emotional and speculative nature of market dynamics often overshadows foundational economic realities. The cycle of optimism, driven by narratives of endless growth, can lead even savvy investors to overlook fundamental weaknesses. For years, many were captivated by the prospect of China’s consumer potential—1.4 billion people eager for goods and services. Yet many ignored the looming issues: demographic shifts, capital controls, and an increasingly authoritarian governmental structure under Xi Jinping.