You’re absolutely correct on the US topic, but one comment on the Chinese side: China does suffer from an excess of export focused production. Their excess of production capacity is artificial (created by Goverent investment) and has resulted in the need for continued Government cash injections.
The Chinese government investment injection has resulted in significant leads in at least two international markets (EV, and solar panels perhaps batteries by volume.)
The cost has been a parge amount for waste and loss of public money (there were a lot of of losses in their recent tech/chip investment for example.)
These losses came at a hard time when the general popilation was suffering from significant equity loss, mainly real estate. There is an argument to make that trying to spur the domestic market would be better than investing in overcapacity.
These losses came at a hard time when the general popilation was suffering from significant equity loss, mainly real estate
Is this a reference to the 99 year leases people can get instead of full ownership or the citizens investment into big housing projects that some say are scams?
I am refering to the massive drop in real estate value that happen as over the last 2 years. Real estate is a primary wealth vehicle for urban Chinese.
You’re absolutely correct on the US topic, but one comment on the Chinese side: China does suffer from an excess of export focused production. Their excess of production capacity is artificial (created by Goverent investment) and has resulted in the need for continued Government cash injections.
The Chinese government investment injection has resulted in significant leads in at least two international markets (EV, and solar panels perhaps batteries by volume.) The cost has been a parge amount for waste and loss of public money (there were a lot of of losses in their recent tech/chip investment for example.)
These losses came at a hard time when the general popilation was suffering from significant equity loss, mainly real estate. There is an argument to make that trying to spur the domestic market would be better than investing in overcapacity.
Is this a reference to the 99 year leases people can get instead of full ownership or the citizens investment into big housing projects that some say are scams?
I am refering to the massive drop in real estate value that happen as over the last 2 years. Real estate is a primary wealth vehicle for urban Chinese.