The challenge facing China (unique in the world) is how to get its citizens to consume more. One way is to provide better public social security, health care, and education. Its citizens save as much as they do (savings has amounted to 42 percent of GDP) because they worry about the future; savings are required to protect them. Again, its recent initiative to provide free education in the rural areas seems a step in the right direction.
Send Daniel your questions for his guest next month: Jeffrey Sachs, who has as much trouble getting exposure as Stiglitz does.