China’s economic growth is being overstated by 1 to 2 percentage points due to a glitch in the way it is calculated, according to estimates by Capital Economics.
If correct, this would mean the world’s second-largest economy only grew by 5-6 per cent in the 12 months to the first quarter of 2015, rather than the 7 per cent figure announced by Beijing.
China’s official gross domestic product data have long attracted widespread scorn, with many commentators arguing the suspiciously smooth numbers are manipulated for political reasons.
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