❗China's exit from fiscal policy and slowing global demand affected exports, businesses, and investment sentiment.
💰Chinese households did not receive cash handouts or subsidies, limiting their spending capacity.
📉Stagnant labor market and income concerns contribute to reduced consumption and investment.
🌍China's deflation impacts the global economy due to its position as a major exporter and market.
💡Diversifying to other markets and managing risk exposure can help mitigate the effects of deflation in China.