THINK NORMAL, ACT NORMAL

The idea of a new normality was first popularized by the bond fund giant Pacific Investment Management Co. to describe below average growth after the global crisis. The term gained ground in China when in May, President Xi Jinping described the need to adapt to a new normality and remain cool-headed as the brakes went on.

Guan Qingyou of Minsheng Securities has laid out three key features of the new normality - much slower growth; continuing structural reform; no big stimulus. In past months, China has repeatedly expressed a new tolerance for slower growth as a precondition to structural reform.

Facing the new normality, Premier Li Keqiang at Summer Davos in Tianjin last month, focused on structural readjustment and other long-term problems, saying he would not be distracted by minor fluctuations of individual indicators. Instead of economic stimulus and easing monetary policy, Li has vigorously promoted reform and economic readjustment.

Economist Ma Guangyuan perceives a lack of wisdom among overseas observers who try to balance reform against stable growth, while baying for a short-term stimulus.

China is still digesting the 2008 stimulus to counteract the global financial crisis. It left China with no choice but to press ahead with difficult reform and lay a foundation for future growth, Ma said.

"It is time to rethink China, as we get ready for a new round of institutional reform which will reshape our nation for many years to come," Lu Ting said.