Comments by "Kevin Street" (@Kevin_Street) on "The Evergrande Crisis Explained - Today's The Deadline, Why The World Is Worried" video.

  1. They probably won't bail out Evergrande because they want other companies to take their "3 red lines" seriously. The worst offender will be allowed to collapse, so that other companies will understand the importance of the policy and do what they can to limit new debt.
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  2. Thank you for this excellent video on the Evergrande situation! I've been watching different videos on this as the event has unfolded, and yours is really a model of clear explanation and useful information. Very well done. As for Evergrande itself... Over on Patrick Boyle's channel he says it looks like the Chinese government is going to let the company fail - but slowly, with the government making sure that in-construction buildings are finished and employees paid for their work. Basically they're going to try to limit the chance of contagion within the Chinese economy. It isn't known yet if the Chinese government will prioritize the repayment of Chinese debt holders over foreign ones, but even if they do... I think it's like you said in your video. China just isn't connected to the world economy in the same way the United States is. The failure of Lehman Brothers shook the entire world, but the slow motion collapse of Evergrande probably won't spread much beyond Asian markets. Imo anyway.
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