China’s GDP and Ghost Cities….
If you are investing at all in the global equity markets then you might want to see this before you think about investing in China. In a time when resources are depleting and we face a global climate crisis it strikes me a bizzare that what is going on in China is A, allowed and B hasn’t caught on in the mainstream as a major concern for global equity markets, the planet as a whole and humanity.
The documentary by Dateline shows how China is simply building infrastructure for the sake of it. In a nutshell the Chinese government is developing vast cities that no one is living in or likely to live in to keep GDP growth alive. There is no demand for the apartments and infrastructure being developed and vast tracts of useful farming land and small villages are being engulfed to accommodate this madness. It seems to be driven by an obsession to keep the impression that China is an economic super power. As they say in the investment industry. All booms must bust and this is going to be the big bang of them all….