What Macron could mean for European China policy


France’s new president Emmanuel Macron is clearly on a winning streak – at home and abroad. His domestic mandate was boosted by the victory of his freshly created movement-party La République en Marche in Sunday's first parliamentary election round.

Xiongan: A New City for the Xi Jinping Era


Building a model city has a long tradition among China’s reform-era leaders. Shenzhen’s rise from fishing village to manufacturing powerhouse is forever connected with the name Deng Xiaoping. Jiang Zemin tied his legacy to the development of Shanghai’s Pudong District into China’s leading financial center. Now Xi Jinping aims to connect his name with Xiongan, a sustainable and smartly planned parallel city right next to Beijing.

Regulating a bubble: why it’s so hard to crack down on shadow banking in China


Under its new chairman Guo Shuqing, the China Banking Regulatory Commission (CRBC) has rolled out a series of measures to slow down the rapid rise of China’s shadow banking assets. The concern is that these unregulated assets could trigger a financial panic. But a sudden reduction in shadow banking assets could actually cause, rather than prevent, a financial panic and it could also trigger a substantial reduction of growth.

Why sanctions against North Korea don’t work

Do economic sanctions cause governments to change their political behavior or even lead to regime change? This has been a controversial topic of discussion among economists and political scientists for decades. Examples from the recent past have added new fuel to this debate. In the case of Iran, many in the West are of the opinion that the oil embargo and the subsequent enforcement of import and export restrictions led Tehran to negotiate its nuclear program. The sanctions against Russia, Syria and North Korea, however, are considered to be ineffective.