China not buffered from global economic shocks and crises - hope for a soft landing in 2012?

While the capitalist model has propelled China to rapid economic growth and wealth generation for a growing number of Chinese enterpreneurs and professionals, it can't run away from the negative effects of the reeling economic gloom affecting China's trade partners.

The major evils are : speculation in the property margin, widening gap between the rich and poor and unemployment.

There is no doubt that China will be dragged down by the US and European nations (except Germany). The question is the extent not whether.

Quote :

Meanwhile, flaws in China’s growth model are becoming obvious. Falling property prices are starting a chain reaction that will have a negative effect on developers, investment, and government revenue. The construction boom is starting to stall, just as net exports have become a drag on growth, owing to weakening US and especially eurozone demand. Having sought to cool the property market by reining in runaway prices, Chinese leaders will be hard put to restart growth.

They are not alone. On the policy side, the US, Europe, and Japan, too, have been postponing the serious economic, fiscal, and financial reforms that are needed to restore sustainable and balanced growth.

Meanwhile, flaws in China’s growth model are becoming obvious. Falling property prices are starting a chain reaction that will have a negative effect on developers, investment, and government revenue. The construction boom is starting to stall, just as net exports have become a drag on growth, owing to weakening US and especially eurozone demand. Having sought to cool the property market by reining in runaway prices, Chinese leaders will be hard put to restart growth.

They are not alone. On the policy side, the US, Europe, and Japan, too, have been postponing the serious economic, fiscal, and financial reforms that are needed to restore sustainable and balanced growth.

http://www.roubini.com/author/nouriel_roubini