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Can you elaborate on your second sentence? Are you referring to the empty rural homes that these people left behind?
by low_common 8y ago
Can you elaborate on your second sentence? Are you referring to the empty rural homes that these people left behind?
- sgillen 8y agoI think they are saying that china needs to plan for more and more people moving into its cities. The buildings are empty now but maybe that's better than having a housing shortage in 15 years.
- adventured 8y agoChina has a rather unique ability compared to other major economies: they can do whatever they want to, anytime they want to. If they need to move a million people from a location, they can just make it happen. This isn't San Francisco we're talking about, Chinese authorities can snap their fingers and dictate policy. They can point at an area and that's where the new expansion will go for the city. Zoning problems? Nope, it's all flexible depending on who wants something done. There's no need to build so far in advance if you're China. They're front-loading economic activity, attempting to pull future returns forward. You can tell because the returns they generate on their debt has plunged drastically over the last decade. If they were still generating the old tremendous growth returns on their borrowing, it'd be a different story, then they'd be feeding growth. Instead, they're stealing from the future (which will have to pay for all of this low value forced expansion).