Thinking About China
Opinion

China’s Property Bubble Collapse Gets Worse

China’s Property Bubble Collapse Gets Worse
An aerial view shows the 39 buildings developed by China Evergrande Group that authorities have issued a demolition order on in Hainan Province, China, on Jan. 6, 2022. Aly Song/Reuters
Daniel Lacalle
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Commentary

A few months ago, when investors started to discuss the troubles of Evergrande, China’s largest real estate developer, many economists saw the problem as isolated and insignificant. The consensus message was that the real estate crisis was containable and that the Evergrande default would be a single case.

Daniel Lacalle
Daniel Lacalle
Author
Daniel Lacalle, Ph.D., is chief economist at hedge fund Tressis and author of the bestselling books “Freedom or Equality” (2020), “Escape from the Central Bank Trap” (2017), “The Energy World Is Flat”​ (2015), and “Life in the Financial Markets.”
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