Coordinated action needed

Policymakers around the world need to work together to stimulate real economy and rein in price distortions

It is obvious that the Chinese economy and world economy are both declining and adjusting. Enterprises are hesitant to invest and market consumption is weak, and the "bailout" capital, at home and abroad, has not yet entered the real economy.

Both developed economies and emerging markets are being adversely affected by the decline. The shrinking trade and investment, weak stock markets, and the big swings in market confidence, are all testimony to the lack of a coordinated bailout plan among all economies.