CRI听力:Live Call-in with Mike Bastin on China's Inflation Risk

China's consumer price index, the main gauge of inflation, has hit a 23-month record high in September, rising to 3.6 percent -above the government target of 3 percent for the year.

Meanwhile, central bank governor Zhou Xiaochuan is now conceeding that China is facing the risk of further inflation and asset bubbles, suggesting that preventive measures are needed, including a counter-cyclical loan control mechanism. He adds that China needs to watch the risks connected to cross-border capital flows, and has also warned that the country has to cope with the ever-number of expanding bank loans.

So for more on how the Chinese government expects to cope with these problems, we are now joined by Mike Bastin live in Beijing. Mike teaches Marketing and Management at Tsinghua University and specializes in Chinese business culture.