More on China’s Housing Market and Other Links

Topic of the day: China’s Housing market (no links yesterday, but a bunch today. Here is the topic of the day: China and its housing market. What we want to see is a soft landing. But irrespective of this, the question is what a soft/hard landing means for the real economy because of bank credit losses and what effect this will have on global growth.  Note the German Asia links as an example of how these things are interconnected.

I certainly think the signs of a malinvestment bubble are everywhere. However, it is not clear what impact this will have on China’s economy and who will bear the losses for malinvestment. I suspect losses will be socialized via interest rates and other mechanisms as Michael Pettis has pointed out.

Also a few non-housing China links here too. Now, I’m hitting the beach! Enjoy.

PS – R.I.P. Matthew Simmons.

The Usual Fare

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