China’s economy overtook Japan’s in 2010 to become the world’s second largest, but analysts told CNBC China still lags Japan in terms of the quality of its growth.
The Japanese economy expanded 0.7 percent on year in the final quarter of 2013, substantially slower than China’s 7.7 percent expansion. While growth in the mainland economy has slowed from double-digit levels in recent years it remains on course to overtake the U.S. as the world’s largest economy as early as 2019 according to the Economist Intelligence Unit.
Yet, the quality of growth in China’s economy is questionable, which becomes evident when comparing it with Japan, analysts at Standard & Poors pointed out in a note.
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