Did people loose their homes? Did people end up jobless?
I know there was a company central to the story, and that China was basically going to let it fail, but what was the fallout?
The fallout was that the Chinese government bought the bottom and all the wall street dipshits than invested in the stock lost their money. The Chinese government has always posited that speculating on the price of housing is a social ill and they've always pulled stunts like this to curb companies that try to start this hype cycle. This time western investors lost money so that's why we heard so much about it.
tl;dr it's in state custody now
Can’t wait to see in 2030 when China has achieved a 100% homeownership rate for adults with all the affordable housing.
You read the news on your phone in your shitty apartment you share with total strangers (if you’re lucky) in bumfuck nowhere addressing this. And what greets you is a picture of a pouty Mr. Monopoly with a tear rolling down his cheek as the headline reads. “Why does China hate real estate? Authoritarian CCP just killed the housing market now no one can build wealth off their investment again!”
My favorite one is the "25 days" one with the guy crying and praying. It reminds me of Grand Prix Richmond Crackstyle.
- Show
I’m not really sure what the graphic is trying to imply exactly. I guess the wealthy dorks getting their assets liquidated for pennies or something?
Housing got more affordable and some capitalists ate shit
The government has been pumping the entire economy through home equity for 90 years so that boomers can afford to buy more trucks, and I'm supposed to think China's housing market is "irrational".
Foreign investors tried to short the bankruptcy and invested billions expecting China to bail the real estate company out and pay everyone. China said fuck off and kept the investors’ money and let the company fail. They also prohibited foreign investors from owning critical Chinese assets that were made available from the bankruptcy
As for the normal citizens, there was some news that the government forced the company to use its remaining funds to continue construction as far as possible and ignore the investors demanding a payout. I’m not sure what happened beyond that though.
I think Bethesda said all the Fallout games are going to take place in the USA
At the high level, the Chinese government bought all the bad debt and closed down some of the largest construction firms. It's a managed transition from the high rate of building they've been doing the past two decades to a more maintenance-focused construction industry as demand tops off.
I wish I knew more about how this effected people on the ground. I want to say that houses that have already been paid for are being built at a loss under state supervision, but I really have no idea.
I love the one that just says "STOP"
