We saw the same thing happen in Korea and Japan after their post war construction, they moved up the ladder, worked hard, but then when they got a taste of real success there was a huge amount of speculation.

In the late 1980's Japanese real estate was the most valuable in the world, then it collapsed and they have not recovered.

This is a big secular shift for China. All of the previous projections were wrong, just like those indicating Japan would take over the world in the 1980's.

This is where China comes out of 'catch up' mode, and is now finding it's 'reality equilibrium' with the rest of the world.