China’s service sector plummeted…! !
The HSBC/Markit purchasing managers index for services fell to 50.0 in July!
That is the midpoint between expansion and contraction—from 53.1 in June.
The data suggest the economy is stalling despite recent government stimulus measures. The fact of the matter is that government can only create so many job opportunities. China has been trying very hard to keep their 1.4 Billion people employed but they are running out of ideas. You can only build so many houses (They have a tremendous glut of uninhabited new homes and apartments. In fact, they have whole new cities that are vacant of people.)
Lack of employment means the people have to go back to the countryside for survival, but they already have a Billion peasants who are seriously underemployed. Unemployment results in poverty and nothing to do but RIOT; or, at least, get angry with the powers in control in the country.
They already have too many Islamics in China who hate the government and are engaged in a war of terror that occasionally makes the news in the western press.
China has BIG problems developing and are not taking proactive steps to solve the problems. Thus an Empire falls.