" He is echoed by Professor Colin Talbot of the University of Manchester : "in normal circumstances you wouldn't expect tax receipts to return that quickly during a recession, so that's a fairly strongassumption.
But far more crucially, the key assumption that drives its strong conclusions is the mundane fact that a very low interest rate is postulated, with which distant-future benefits and costs are then discounted .
This kind of demand, especially in a place where counterfeit luxury goods are easy to come by, has led to the assumption that prospects for parts of the Chinese consumer market remain strong despite rapidly-slowing growth in the overall economy.