OUTSIDE China, the consensus among economists is overwhelming: the country's efforts to prop up its plunging stock markets are doomed, the financial equivalent of King Canute trying to halt the incoming tide. But this being China, the conventional wisdom may turn out to be wrong.
Faced with an unnerving selloff in its major markets that at one point had wiped out nearly US$3 trillion in value, China has announced a series of measures to stabilise stock prices, including the establishment of a 120 billion renminbi (S$26.4 billion) fund for the country's largest brokerage firms to buy stocks.
So far, it's hard to tell whether the government's intervention is having much impact. After modest...