[AIG]

Probably what holds China back from reforming its banking sector more quickly than otherwise is that those banks are needed to continue to provide money to China's state sector, so that workers are not laid off in a too-quick manner. If workers are laid off at a moderate rate, then China's overall economy can absorb them. But if workers are laid off too quickly, China's overall economy can't absorb them so there might be social unrest, which doesn't serve China's long-term interests or America's.

[TigerLikesRooster]

Re #30

Chinese government tried to push too fast ahead while holding onto vast territory and population. Apparently, the expectation of population and some ruling class is running ahead of what can be realistically done. It is the case of "Chinese irrational exhuberrance". People and institution do not change as fast as equipment and factory do.