Not the first time the story has been told, this news show from Australia about China's empty...

Not the first time the story has been told, this news show from Australia about China's empty cities and shopping malls visits some new spots. "It's the modern equivalent of building pyramids, it doesn't really add to the betterment of lives, but it adds to the growth of GDP."
Comments (2)
  • Wyatt Junker
    , contributor
    Comments (4498) | Send Message
    Yeah, I know, its an Omega Man rerun.


    But this is like part 19th of an old story. Except for the pyramid analogy which is probably the only reason he wrote the snip, because he came up with something he thought was neato and wanted to share it.


    But can't that be done on Twitter now?
    21 Mar 2011, 02:10 PM Reply Like
  • TKline
    , contributor
    Comments (19) | Send Message
    Yes, Australia's property bubble depends on China, and China is experiencing a real estate bubble bigger than any in the world, apart from Australia! By all measures (price/rent, price/income, dwellings/population) Australia's bubble is on a larger scale and even less sustainable that the China bubble! Like Australia, China is investing in pointless excessive infrastructure that nobody needs, including the huge oversupply of houses in Australia as demonstrated on AustralianPropertyForu... China is responsible for most recent global demand for commodities so when their bubble pops, Australia is doomed! China's collapse will seriously affect Australia and other countries benefitting from China demand. Coal and iron prices will plummet along with oil and other commodities. China's dramatic growth won't go on forever. Most people must realise by now Australia has an unsure future. Nobody knows exactly when the collapse will happen but there's no doubt it will happen sometime and the longer this bubble expands the worse the crash will be. China saved Australia during the GFC but when they fall over the effect on Australia will be devastating. History teaches us that diminishing resources and increasing demand always leads to disaster. China needs our resources and they might do whatever they can to secure them, even if it means war.


    Tom Kline
    Australian Property, Economy and Politics Forum
    24 Mar 2011, 11:34 PM Reply Like
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