Wednesday, March 14, 2012
By Tianlun Jian
After my series of articles on China's housing markets, some readers have asked why housing in China is so expensive? The bubble is known to everyone, and the government is taking measures to control it. Why has the bubble not burst? Actually many researchers have forecast that China's housing markets would collapse years ago. Beijing's housing prices were already as high as those in Manhattan even in 2007.
Indeed, there are many things that could have triggered the collapse of China's housing market: the financial system, high housing prices, local government debt, social unrest due to huge income gaps, forced demolition, etc.—just to name a few.