HONG KONG, Sept. 7 (Xinhua) -- Slow-down of Chinese economy from an over-heated growth is good news for China, Fan Gang, director of China's national economic research institute, said here Wednesday.

Speaking at a forum held by "Asia Society", an educational organization dedicated to furthering the understanding of the countries and cultures of Asia, Fan said that the slow-down of Chinese economy in long-run from an average annual growth rate of more than 9 percent is inevitable.

But it is still possible, theoretically and by historical comparison, for China to maintain around 7 percent of high growth for next 20 to 30 years.

"To realize this long-term high growth is much needed for China, but it requires great deal of efforts in reforms of economic, social and political institutions," Fan said.

At the forum, Fan and James Mirrlees, a Nobel Prize-winning economist and professor, critically analyzed the factors that might slow down the Chinese economy.

Both Fan and Mirrlees believed China will undergo dramatic changes in its urban-rural population ratio over the next decade as substantial investments are made in urban infrastructure.

They examined the impact on economic growth, which has been driven significantly by the abundant supply of rural labor, and the key factors that could derail China's economic growth.

Close to 300 guests shared the in-depth analysis from the two experts at the forum.

Source:An