Why You Should Be Worried About China's Debt Crisis
Economics Explained
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Real Estate in China Is a Speculative Asset
Real estate in china is viewed as a speculative asset first, and a place to keep people second. China's enthusiasm for real estate is so strong that some provincial governments have tried to cool demand by limiting the amount of real estate a single household can own. The cunning investors weigh around this issue, get divorced on paper, so that one household becomes two, and the apparently separated investors can double their holdings without penalties. If china's economy continues to double in size every eight years, paying five million arm for a rundown apartment is going to look like a savy investment.
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