Noah Smith's Deep Dive on the Chinese Economy
Village Global Podcast
00:00
China and Real Estate Crisis
Every time there is a recession, china would tell banks to build more stuff. And that meant that china never had a recession, or at least not officially. But they it was amazing mac economic stabilization policy. They really fell they conquered the business cycle. The problem is there was a massive price to pay for this, which is long slowing activity growth. By some, by some estimate, 30 % of their economy was real estate or closely connected to real estate. So suddenly, 30% of the grinds comes to an end and that's the end rapid growth. You see these forests of apartment towers nowadays. You see forests of empty apartment towers selated for demolition because no one
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