One of China’s top deficit hawks believes that its economy is on track for a major debt crisis. Liu Xiaoshu (劉曉曙), director of the China Chief Economist Forum, argues that the Chinese economy could soon fall victim to the same fate as Japan or the debt-crisis nations of the European Union, unless it changes its macroeconomic policy settings. He's launched a vigorous attack on China's deficit doves, who want Beijing to step up fiscal spending over the next decade, in order to accelerate the rise to developed economy status. Liu instead advocates that China pursue much-needed long-term structural adjustments, to achieve the sustainable growth needed to propel it into the ranks of the world’s rich economies. Read exactly why Liu believes China could fall victim to a debt crisis and what it needs to do instead, for free and in full right here: