Bloomberg Businessweek


China’s policymakers are trying to deflate a lending bubble before it bursts, just as investors have begun to worry about state intervention in companies

For the better part of four decades, the rise of China’s entrepreneurial class has seemed unstoppable. Unleashed by Deng Xiaoping’s reforms beginning in the late 1970s, the country’s private businesses have fueled the biggest economic boom in the world.

But what if China’s nonstate sector isn’t as strong as it looks? What if, instead, it’s been pushed along by risky lending and frothy financial markets? That fear, along with concerns about increased government meddling, gripped investors in 2018. As domestic financial conditions

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