Chinese authorities have rejected a proposal made by the International Monetary Fund to use central government funds to complete unfinished housing, dealing a blow to hopes for more forceful support to an industry that’s been a major drag on the economy.
Real estate is an asset class just like any other asset that is traded.
With respect to them giving money unfront for building, they got scammed. It is a criminal matter. But why should other people socialize their bad choices.
Bail out mechinsm done in the west is the most retarded way to deal with these issues and it creates incentives for owner class to scam taxpayers.
That’s call investnent risk that investors bears why should their losses be subsidized via loans on entire taxpayers?
Ironic how China is more less interventionist than US now where we bail out the owner class every single time
Sorry, so the people who saved up to buy a home that couldn’t be built until later due to demand are now investors?
I don’t think they owned any stock in a company.
They had contracts for homes, right?
Real estate is an asset class just like any other asset that is traded.
With respect to them giving money unfront for building, they got scammed. It is a criminal matter. But why should other people socialize their bad choices.
Bail out mechinsm done in the west is the most retarded way to deal with these issues and it creates incentives for owner class to scam taxpayers.