For years, pessimists have expected the Chinese economy to collapse under the load of debt that built up as the government pumped out money to soften the impact of the 2008 financial crisis. To get out of that hole, Beijing ordered state banks to lend to inefficient state enterprises, let local governments meet unfunded government mandates with borrowed funds, and sat by as real estate developers borrowed cash to build unneeded housing blocks. More recently, the government has taken similar actions to get the economy growing again after the COVID-19 shock earlier this year, again fostering concerns that it has taken on too much debt. As Orlik skillfully explains, however, the government may manage its way out of its economic problems this time, just as it has done before. China benefits from a high savings rate, the limited convertibility of the renminbi, smart policymakers, and the government’s power to tell banks and firms what to do. China still faces plenty of risks, but Orlik warns against counting on financial troubles to derail its ambitions.