The rise of state capitalism in the field of investment catches the eyes of western countries. The South is actively participating in and embrace economic globalisation while the North is getting stuck and facing frictions. Protectionist stances towards trade and immigration have resulted in...

The downturn in the world economy following the global banking crisis has left the Chinese economy relatively unscathed. This paper develops a model of the Chinese economy using a DSGE framework with a banking sector to shed light on this episode. It differs from other applications in the use of...