Try the Chinese: It’s Bubblelicious 1
At Asia Times, Mike Davis theorizes that the economies of the European Union, the United States, and China are headed for a collision (he also makes a side trip to the hot rod tales of Henry Felsen, many of which I read). Like almost everything in Asia Times, it’s worth a look.
What caught my eye particularly is this:
In addition to making everything else, China now seems to making its own homegrown banksters, who are adopting the tactics of our own U. S. variant and feeding-frenzying a real estate bubble:
Real-estate speculation, meanwhile, is vacuuming up domestic savings as urban families, faced with soaring home values, rush to invest in property before they are priced out of the market. (Sound familiar?) According to Business Week, residential housing investment now accounts for 9% of the gross domestic product, up from only 3.4% in 2003.
It sounds a lot like the U. S. real estate market, circa 2005.
This can’t be good.
July 29, 2011 at 11:34 am
[…] Pine View Farm again points out a diverting read, this one in the Asia Times by old Mr. Urban Slum himself, Mike Davis. Ever since DD has been in southern California, Davis has been semi-famous for his role as the teller of the stories on how everything will slowly collapse. (From the perspective of someone monitoring urban decay in SoCal.) […]