Those silly commies don’t understand that you have to bail out capitalists when they fail.
Based China
But what about the poor billionaires 😢
So are they poor or rich? Make up your mind!
See definition 6
I am aware, yes. I should add an /s at the end next time.
No, people need to learn how to recognize sarcasm again.
I disagree. Especially on the internet, it can often be very difficult to say what is sarcasm and what is not. This is mostly because of the wildly diverse opinions that people have.
God I wish that were us
Oh the horrors of billionaires not getting their treats 😢
The commies can’t keep getting away with … checks notes … running a free market!
Common China W
Wow, actual Moral Hazard?!
Y’all are dancing on this, but if they go through with it, this is going to cause a run of panic that will wipe out the savings of hundreds of millions of people.
It would in the west, in China they do a controlled crash, i mean it’s already happened, one of their biggest housing companies already crashed and it did not caused anything except rise in home ownership among the people.
What about all those unfinished buildings that people got in debt to buy?
They are not needed. There is no one to live in them.
They have over a billion excess homes. It was the only thing that normal people could invest in so they just kept building.
If you bought one as an investment, nobody is going to buy them from you. They are worthless.
So what are you going to do with the millions of people relying on that for their retirement savings?
But what is the actual real-world practical solution for those people?
Are they now just going to be broke (or even in debt) with no place to live?
There’s a high percentage of Chinese workers that invested their savings in real estate instead of having a pension. And there’s no welfare, which means a lot of people who will be left on the street when they are too old to work.
Ah NOW it makes sense.
There’s a high percentage of Chinese workers that invested their savings in real estate instead of having a pension.
That’s why no bailout. Only the regular folks getting curbstomped by this one.
Evergrande already went bankrupt in 2021 and the general population in China have been mostly shielded from the damage (except the poor billionaires though 😢)
How were they shielded? Do you have a source I can read? I’m genuinely interested.
I remember reading that there were protests because people bought condos and were essentially told they were never going to get completed. Did those people get a refund from the government or the company?
Not afaik. Anyone buying an unfinished condo though likely already has a home, specially since China’s home-ownership is about 90%.
And if they don’t, they can buy one for much cheaper now cuz house prices have gone down thanks to this real estate bubble being popped. And China already has 600 million vacant homes.
This also coincides with the CPC moving funding from the overinflated real estate sector to the high tech sector btw.
particularly EVs
Geopolitical economy report has a more in-depth video on this.
Here is an alternative Piped link(s):
Geopolitical economy report has a more in-depth video on this
Piped is a privacy-respecting open-source alternative frontend to YouTube.
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Yes but can they please do this without leaving half finished skyscrapers in other countries? The situation in LA kind of sucks now that the city has to spend millions cleaning it up (supposedly sending the bill to a bankrupt Chinese developer, as if that’ll work).
China has said they are going to take over projects under construction to finish them, which is good.
However, China still has to deal with a property glut, an elderly population who mainly used real estate to save for retirement, and local governments who needed real estate development to fund their budgets.
China is going to have to spend significant parts of its surplus dealing with this.
They don’t “have to” clean up the totally innocuous graffiti
waow
