China can successfully make the industrial transition that will generate stable and sustainable growth in the long run

There are voices heralding the doomsday for China's traditional development mode, the outbreak of a debt crisis, rigidification of the financial system, the vanishing of the demographic dividend, or a stagnation in reforms. These observers have one thing in common: growing pessimism about China's economic prospects.

However, while these downbeat views of the Chinese economy and its development momentum may contain some element of truth, they are too narrow to show the whole picture.