China Curbs Bank Loans as Asset Bubble Worries Grow

Unemployment is in the double digits in the United States. China, meanwhile, is expected to expand its GDP at near double-digit rates again.

Given the starkly different scenarios, it's easy to be envious of the emerging giant's seemingly comfortable position in the global economy. But China is actually in the midst of a high-stakes balancing act. And Wednesday's announcement that China is planning to further curb bank lending -- the latest in a series of maneuvers to deflate potential asset bubbles -- sheds more light on the tough choices the country is now facing.