As to the possible crisis emerging from stronger dollar, hot money outflows and devaluation of RMB, since China implemented the capital control under securities entry, this will not have an unmanageable impact on China's capital market or the real estate.

Sometimes economy crisis can be defined as a sharp slowdown of economic growth. But this kind of economy crisis too will be not happen. In fact, the truth of Japan's stagnation is that Japan's GDP per capita is still a high of $50,000, which is a great achievement, considering its consistent problem of aging population.

But China's GDP per capita is only 10th of Japan's and its urbanization level is only 50 percent. China's economic growth potential has for a long time been hampered by inefficient institutional environment and therefore market-oriented reform will free it up and increase the speed of growth as China is a nation of industrious and studious people. And I believe this government is on the right track of improving the institutional environment and carrying out market-oriented reform.

The author is a lecturer at the Management School of Shanghai University and a research fellow at the China Europe International Business School Lujiazui International Finance Research Center.