Michael Pettis: China's Economic Growth Model Is Dying
Forward Guidance
00:00
The Three Red Lines of the Chinese Real Estate Market
The big four Chinese banks are partially privatized but have their chairmen determined by Beijing./nThere are smaller commercial banks that are mostly privately owned, and smaller banks owned by cooperatives or local governments./nThe banking system in China is heavily regulated and controlled, making the distinction between state-owned and privately owned banks less important./nThe Chinese government, specifically Beijing, heavily controls lending by instructing banks on how much to lend to certain industries./nThe crackdown on real estate in China could have been influenced by Beijing telling banks to limit lending to the real estate sector.
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