Is China About To Plunge Into Financial Crisis?

The most reliable indicator of financial crisis is the pace of growth in debt (not the size, but the pace). Over the last five years, debt levels in China have increased by 71 percentage points. Looking back over the past 50 years, there are about 33 cases of countries with similar debt run-ups—22 of them plunged into a credit crisis, and all suffered a major economic slowdown.