Certainly there are always doom-mongers around. Of course, one day they might get it right. Meanwhile, continuing eagerness to invest is symptomatic of a bubble.
I am sure that the property market in a country as big as China varies enormously. Certainly people in cities like Shanghai and Shenzhen are eager to climb the property ladder. Then there are these ghost cities. Anyone can choose either end of the spectrum to argue a case.
What is clear is that Evergrande is in trouble and what isn't clear is how this will shake out. However, I'd agree that it is a bit of a leap from there to say the entire China property market is in crisis.
Of course it isn't - as you said there are areas where the boom is real, i.e. more buyers than availability . . . but like anywhere else at the moment prices are skyrocketing there.
'Build ad they will come' isn't applicable to simply building anywhere to create jobs - there is much more to it than that.
the trailing pronunciation is a bit irritating , but the video is ok
Schrodinger's Cat? It went missing.
This is nothing new:
What President Xi’s congress message means for China’s housing market
The President stressed ‘houses are built to be inhabited, not for speculation’
Published: 2:32pm, 24 Oct, 2017
What President Xi’s congress message means for China’s housing market | South China Morning Post
Some Chinese real estate developers are having financial problems.
They will survive, as the wanabe central banker has.
China Evergrande bonds suspended as prices plunge
September 6, 20215:51 PM +07Last Updated a day ago
China Evergrande bonds suspended as prices plunge | Reuters
They were all busy studying to get into university.
"This year, China's annual college entrance exam season will run from June 7 to 9. You can almost smell the pressure in the air as more than 10 million students across the country prepare to take the National College Entrance Examination, aka the 'gaokao,' a high-stakes exam on which students' entire future depends"
Last edited by OhOh; 08-09-2021 at 01:16 AM.
A tray full of GOLD is not worth a moment in time.
^ They paved the roads and hired a few actors?
Some perspective?
China debt: has it changed in 2021 and how big is it now?
"China’s outstanding foreign debt, including US dollar debt, reached US$2.4 trillion in 2020"
China debt: has it changed in 2021 and how big is it now? | South China Morning Post
USA Federal Debt and the Statutory Limit, July 2021
What Is the Current Situation?
"P.L. 116-37 specifies that the amount of borrowing that occurs during the suspension of the debt limit will be added to the previous ceiling of US$22.0 trillion. As of June 30, 2021, an additional $6.5 trillion had been borrowed, bringing the amount of outstanding debt subject to the statutory limit to $28.5 trillion. The new debt limit, which will be established on August 1, 2021, will reflect additional borrowing through July 31."
Federal Debt and the Statutory Limit, July 2021 | Congressional Budget Office
You should be worried alright. It's just that if China goes down, so does the US. You ever notice how almost everything from Amazon or Walmart is made in China ? And that's just half of it. China is the biggest external owner of all of this govt debt we keep stacking up.
Because Canada is a vassal of the US with the same trade relationship with China maybe.
How large is Canada's trade deficit with China?
China is Canada’s second-largest export market as well as our second-largest source for imports. However, it has often been said that this significant flow of goods is one-sided, with Canada importing much more merchandise from China than they import from our country.
btw my left thumb knows more about this than you do.
China is America's biggest creditor once again
China is America's biggest creditor once again
Creditor
A creditor or lender is a party (e.g., person, organization, company, or government) that has a claim on the services of a second party. It is a person or institution to whom money is owed.
For some time it appears. If of course, they aren't pledged to others.
MAJOR FOREIGN HOLDERS OF TREASURY SECURITIES
(in billions of dollars)
HOLDINGS 1/ AT END OF PERIOD
Jan - June 2021
Jun May Apr Mar Feb Jan
Country
China 1520.5 1538.8 1312.5 1327.4 1563.7 1558.7
Japan 1277.3 1266.2 1276.8 1327.4 1240.3 1276.7
https://ticdata.treasury.gov/Publish/mfh.txt
Last edited by OhOh; 09-09-2021 at 02:55 PM.
Actually the US gov't has to increase it's debt limit, again, or is on the verge of defaulting on it's Sovereign debt obligations. That would be a cataclysm!
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