Al-Jazeera reports from a brand new city in Inner Mongolia built by the Chinese government to prop up GDP numbers, but hardly anyone lives or works there. Investors bought units believing that real estate prices never fall. “Real estate is not a place to live but a place to park money.”
Source link: http://archive.mises.org/11400/chinese-government-stimulus-builds-a-city-but-no-one-comes/
Chinese government stimulus builds a city but no one comes
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Truly shocking what governments can do.
That’s nothing, check out the European village they built. Also empty.
http://emergenturbanism.com/2009/09/20/poundbury-in-china/
It’s the same story with the world’s largest shopping mall in Guangzhou, China:
http://video.pbs.org/video/1218530801/
So much for China being a growing economy.
Keynesian economics in action!
http://www.zerohedge.com/article/china-begins-liquidity-tightening-bubble-threat-looms
American leaders take note…its called learning from your mistakes.
This is where the American company, First Solar (FSLR), has signed a memorandum of understanding to develop a 2GW solar (PV) power plant by 2020. Fantasy power for a vacant city–so who says central planners can’t get anything right?
Takes the concept of digging a hole and then filling it back up to a new level.
Hey, they’ve got to achieve their 8% year-over-year increase in GDP somehow!
You guys are missing the point. When they hire workers to destroy these cities, they create jobs and add to GDP. In fact, they shouldn’t even give them capital by which to perform such a feat. That way, they can create lots of jobs!
@Juraj
Yeah, it’s truly shocking what a bunch of greedy power hungry idiots with no morals what so ever can indeed do….
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