Insider Finance - Business - China’s blowing up its own economy

Nicholas Carlson October 31, 2022

Hello, Insiders. It’s Halloween! You’ve probably noticed the Spirit Halloween fake costume memes everywhere online. They seemingly spare no one — we’ve seen satirical costumes of everything ranging from "The Sopranos" to current affairs, including the hoax of imposters pretending to be fired Twitter employees from this week. You can check out the viral posts here. But if you’d rather see actual costumes, here are some impressive ones from celebrities, like Lizzo as Marge Simpson. Now, instead of trick or treating, let’s get to the news.

The latest

• Brazil’s far-right leader Jair Bolsonaro lost a tight election to leftist two-time former president Luiz Inácio Lula da Silva. Here’s how this impacts the fate of the climate.

• A survivor of the South Korea crowd surge that killed more than 150 said people were so densely packed, her feet were lifted off the ground. Read her story.

• Elon Musk put Twitter employees to the test to see who is capable, and willing, of working under his new reign. Get the details.

The big story

Ju Peng/Xinhua via Getty Images; iStock; Rebecca Zisser/Insider

China, as we knew it, is no more. And the new China is more dangerous than any we’ve seen before.

It’s no longer a country with a quickly growing economy, senior correspondent Linette Lopez writes. Instead, in its place is an increasingly authoritarian government and a withering economy — that could take the rest of the world down with it. 

President Xi Jinping's China has a teetering property sector and an aging population. His willingness to attack industries and box out foreign investments poses a threat to the world's financial stability. China’s desire for reunification with Taiwan puts geopolitical stability at risk.

So Beijing's economic miracle machine has run out of steam, though that hasn't curtailed its ambitions. And as its economy weakens, it will be less able to use its economic might to persuade or coerce other nations to accept its behavior. 

That could push Beijing to even more aggressive action using a more modernized, capable military, for example. In a world without carrots, all you have left are the sticks.

Read the full story here.

Top reads

iStock; Michael Burrell/Getty Images; Alyssa Powell/Insider

• Average workers took advantage of the Great Resignation, but the good times are coming to an end. The red-hot job market helped reverse income inequality for the first time in 30 years, allowing workers to quit, form unions, and negotiate for more pay. But with a recession looming, those gains are starting to vanish — and employers are about to take revenge. 

• One Philadelphia diehard fan is having the ultimate sports week. Philadelphia sports are having quite a moment: the Phillies in the World Series, the Eagles undefeated, the Union in the playoffs, and the 76ers and Flyers just starting their seasons. Check out this fan’s plan to see all five teams play.

• A golf course “cart girl” shares what the job is like. The 20-year-old said that serving drinks on the course brings in good money, but that customers can get creepy. Here’s what it’s like to work on an “adult ice-cream truck.”

• A woman chose surrogacy when doctors told her she was infertile. Then she got pregnant — and her surrogate miscarried. DeeDee Bitran was told by two IVF doctors that it was impossible for her to carry a baby. Not long after a surrogate became pregnant with her embryo, Bitran learned she herself was pregnant. Read Bitran’s emotional journey.

• Eyeing a move? Check out the three most attractive cities in the southeast right now. The founder of a real-estate investing platform broke down the appeal behind metro areas in North Carolina and Tennessee — like being "business-friendly" and "affordable." Check out the hottest southeast cities.

Today’s sound bite

"Working in a space that thrives on boundaries, on transparency, on talking about money helped me reflect on other work experiences that were the opposite."

Arielle Egozi, who listed online sex work on LinkedIn. Listen to the full segment on The Refresh from Insider.

Watch this

Climate activists are throwing food at famous works of art in Europe — watch to find out why.

Today's team

Nicholas Carlson (@nichcarlson), Hallam Bullock (@hallam_bullock), Lisa Ryan (@lisarya), Jordan Parker Erb (@jordanparkererb), and Shona Ghosh (@shonaghosh).

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