Accompanying high tech, I think china urgently needs to invest in boosting the productivity of the average person which leads to an increase in income which leads to increase in domestic demand. Some ideas:
1) Free Technical skills program for migrant workers
2) Provide Micro-loans for small entrepreneurs in rural areas
4)Government job guarantee for unemployed workers. Ie if you can't find a job. The government will hire you to work on infrastructure construction. Wages will be low, so private sector can compete.
5)Invest in new service industries that can sponge up unemployed workers.
Just a few policy ideas.
1) Free Technical skills program for migrant workers
2) Provide Micro-loans for small entrepreneurs in rural areas
4)Government job guarantee for unemployed workers. Ie if you can't find a job. The government will hire you to work on infrastructure construction. Wages will be low, so private sector can compete.
5)Invest in new service industries that can sponge up unemployed workers.
Just a few policy ideas.