Pundits love debating the Chinese economy's growth prospects, and nowadays the pessimists are gaining the upper hand. But many are basing their predictions on other economies' experiences, whereas China has been breaking the mold on economic growth for the last three decades.

So, are China's economic prospects as bad as prevailing wisdom seems to indicate? And, if they are, how can they be improved?

China's situation is certainly serious. The economy grew by 7.4 percent last year, the lowest rate since 1990; it is unlikely to meet the official target of 7 percent this year, and, according to the International Monetary Fund, will probably grow by a mere 6.3 percent in 2016. Clearly, weak domestic activity and diminished external demand are taking their toll.