China economy is "shaky" would be an understatement... feels like serious housing / debt collapse is on the horizon, and negative GDP growth + recession/depression might be likely in coming years.
feels like Japan in the early 90's, maybe even worse.
well, Beijing might be able to compel / force SOEs to do certain things, but i don't think even a centrally-managed economy can force consumers to buy houses that are falling in value, or even worse houses that are 2+ years overdue to be built by developers.
at some point, China will have to start moving towards an economy that isn't primarily driven by construction / housing ... but that is no small task given that is exactly what has been emphasized for the past 30-40 years.
their current approach is to try to stabilize the prices of the newly built housing but that policy has a limit. overall, ccp only cares about staying in power so god knows what they are going to do with the economy. I hope they don't delve into chaos like what happened in the 1960s or 1970s.
China economy is "shaky" would be an understatement... feels like serious housing / debt collapse is on the horizon, and negative GDP growth + recession/depression might be likely in coming years.
feels like Japan in the early 90's, maybe even worse.
https://data.worldbank.org/indicator/NY.GDP.MKTP.KD.ZG?end=1999&locations=JP&start=1988
agreed. but their economy is *planned* by Beijing so I wonder what the central government will do to address the current sticky situation.
well, Beijing might be able to compel / force SOEs to do certain things, but i don't think even a centrally-managed economy can force consumers to buy houses that are falling in value, or even worse houses that are 2+ years overdue to be built by developers.
at some point, China will have to start moving towards an economy that isn't primarily driven by construction / housing ... but that is no small task given that is exactly what has been emphasized for the past 30-40 years.
their current approach is to try to stabilize the prices of the newly built housing but that policy has a limit. overall, ccp only cares about staying in power so god knows what they are going to do with the economy. I hope they don't delve into chaos like what happened in the 1960s or 1970s.