Comments by "Louis Giokas" (@louisgiokas2206) on "No Wedding, No Kids, No More CHIVES to Reap! China’s 2023 Newborn Count Lowest in 261 Years" video.

  1. While all of what is said about housing is basically correct, the young man at 19:25 is just being stupid. Mortgages in general, in places like the US, are structured this way. There are two reasons this is not a problem in a normal, market economy. The first is that housing prices are expected to go up over time. The second is that inflation, even at a low rate, will make the money used to pay off the mortgage less valuable than it was at the beginning. The other thing to consider is that without mortgages structured in this way very few people could afford to buy a house in the first place. In addition, without the income generated over the life of the mortgage, the capital it represents would not be made available. The real issue is that the CCP has manipulated the market to keep prices unreasonably high. Interference in markets by governments is always bad. The price to income, both median figures, in the US is generally about five, moving up to seven recently (the current situation is an anomaly). The same ratio in China is now 17. Even at the beginning of this millennium it was ten. So, prices have always been unrealistically high in China. Now, as they seem to be collapsing, the middle class, such as it is, will be wiped out.
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