The global financial crisis is due in part to the fact that the United States and some other western countries consumed much more than they produced, and made up the difference from borrowing.
But where the West overspent, Asia over-saved, to the tune of something like $10 trillion.
Now China is trying to persuade people to change their habits and spend more, in the hope of re-invigorating its slowing output:
Listen Listen to Chris Hogg's report from Shanghai (4 mins 34 secs)
Chris Hogg spoke to Professor Zhang Jun from Fudan University in Shanghai.
Can Chinese consumers spend their way out of difficult economic times?
Listen Listen to Professor Zhang Jun (4 mins 9 secs)
Chris spoke to two young Chinese people, who came from the countryside to work in the city.
How do they feel about China's economic prospects?
Listen Listen to Colin and Nicky (3 mins 51 secs)
China's leaders are deeply worried about the slowdown and fear that if many lose their jobs there could be social unrest.
The Chinese Academy of Social Sciences predicts rising unemployment and a widening income gap will lead to social instability.
In its 'Social Blue Paper for 2009' it also warns that further losses on the stock market and the housing market would jeopardise China's financial system.
The BBC's China Editor, Shirong Chen, reports:
Listen Listen to Shirong Chen's report (1 min 27 secs)
First broadcast 15 December 2008
