Comments by "Twomix" (@twomix1822) on "China’s real estate bubble explained and compared to Japanese real estate crisis 1990s" video.

  1. Imagine China losing 30% of its GDP when the housing bubble burst. The level of housing speculation in China is insane.
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  2.  @tophan5146  Interesting question. Actually the housing bubble has been discussed since 2010. The bubble was artificially kept going/ignored because during that time China's economy was growing by leaps and bounds. Everyone was probably thinking the economy could tolerate the crazy real estate speculation. Fast forward 2020, China's economy has peaked early due to COVID and is now slowing down due to population growing old. Even the CCP government has realized the bubble is unsustainable. Right now they are trying to burst the bubble in a controlled fashion (thru the so called "three red lines" of real estate) while trying to maintain stability at all cost. That's why the Chinese media is barely reporting on the situation while the western media is reporting about it non-stop (US debt exposure to Evergrande is worth about $20 billion -- small but not insignificant) while Chinese exposure is about $300 billion (a major chunk of the debt is owed internally to Chinese investors/speculators). The CCP government are trying to diffuse the situation quietly while avoiding massive financial panic.
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