[…] China is not as economically secure as it seems. Convulsions in its financial markets have heightened global investor risk aversion and have added volatility in recent quarters. Try as they may, Chinese policymakers have been unable to stem the massive outflow of capital brought on by the current winter of dollar liquidity. Beijing seems perfectly content to bide its time, pumping audacious and improbable amounts of credit into the system, much as it has done in the past. But this time, neither the markets nor the Chinese people are confident that such aggressive stimulus policies will work. The veneer of Beijing’s efficient, competent and formidable autocracy has fractured, and through the cracks seep China’s geostrategic ambition—and the integrity of its currency.