As a Chinese person, I feel that the Communist Party is the least qualified to say this.
Ask any Chinese person, and they will have heard of China’s “raise prices to clear inventory” policy. Who was behind it? Liu He—a close confidant of Xi Jinping.
Here is how they did it: they carried out large-scale demolition in the city and provided monetary compensation, yet the amount was insufficient to purchase a home.
And then? A massive surge in market demand caused housing prices to rise. People who might not have had an immediate need for housing saw the prices climbing—with prices changing almost daily—and, gripped by panic, joined the buying frenzy. The Communist Party is the primary driving force behind the rise in Chinese housing prices.
Maximilianne on
People accuse China of having undervalued currency,but IMO in a more liberalized currency regime, presumably some of the real estate bubble instead go into foreign equities which is better for them,but also lowers the yuan due to more outflows which unironically makes their exports better (though only to a point since inputs imports are more expensive)
Healingjoe on
> The phrase was coined by Xi Jinping […] in December 2016
Famous communist theory emanating from 2016 mixed-market economy China
lurreal on
LVT would fix this
TheBatz_ on
How about this: Build so much housing, that speculating with land an housing becomes basically useless.
10 Comments
Yimbys in shambles
How dare he say this.
How’d that work out for them?
https://preview.redd.it/6332xwdwkkgh1.jpeg?width=506&format=pjpg&auto=webp&s=2dc150f6ce70b4de79f008062ed60b9ed2fc80ff
Imagine still thinking Xi is a communist
As a Chinese person, I feel that the Communist Party is the least qualified to say this.
Ask any Chinese person, and they will have heard of China’s “raise prices to clear inventory” policy. Who was behind it? Liu He—a close confidant of Xi Jinping.
Here is how they did it: they carried out large-scale demolition in the city and provided monetary compensation, yet the amount was insufficient to purchase a home.
And then? A massive surge in market demand caused housing prices to rise. People who might not have had an immediate need for housing saw the prices climbing—with prices changing almost daily—and, gripped by panic, joined the buying frenzy. The Communist Party is the primary driving force behind the rise in Chinese housing prices.
People accuse China of having undervalued currency,but IMO in a more liberalized currency regime, presumably some of the real estate bubble instead go into foreign equities which is better for them,but also lowers the yuan due to more outflows which unironically makes their exports better (though only to a point since inputs imports are more expensive)
> The phrase was coined by Xi Jinping […] in December 2016
Famous communist theory emanating from 2016 mixed-market economy China
LVT would fix this
How about this: Build so much housing, that speculating with land an housing becomes basically useless.