Lower GDP Target Is Necessary, CASS Economist Says

(Beijing) – Lowering expectations for GDP growth is necessary to complete the structural transformation of the economy, an economist at the Chinese Academy of Social Sciences (CASS) says.

Beijing has set this year's GDP growth target the same as last year – 7.5 percent. This is the lowest targeted rate since 2005. The outgoing premier, Wen Jiabao, said even this goal would be hard to attain. Last year, the actual GDP growth rate was 7.8 percent, and China's export-oriented economy has struggled as the global economy has cooled.