And they have excess debts that their assets no longer cover because the housing market crashed.
Additionally, they just took on obscene debts. The banks did not do the appropriate due diligence (hypothesis is the local governments interfered).
But I know only what rando YouTube videos have told me.
Basically the same corruption that societies have been battling ever since societies existed.
Why should the government and the non-investors pay for government agencies that enforce regulations? If investors cannot handle due diligence, let them pay private agencies to secure their investments.
Pardon my French, numbers on paper my ass.
Economic uncertainty leads to people killing themselves. Suicide rates go up during recessions and depressions.
https://www.frontiersin.org/articles/10.3389/fpubh.2022.9070...
> In general, economic crisis, unemployment rate and other macroeconomic measures are associated with increased risk of suicidal behavior at the aggregated level.
That will trigger a run.
The Great Depression, the Great Recession.
> Why should the government and the non-investors pay for government agencies that enforce regulations?
Apart from them being ostensibly a communist nation, it's good for business. Everyone's business.
This is also why Greece got a lot of help from Germany and the IMF about 10-15 years back.
> If investors cannot handle due diligence, let them pay private agencies to secure their investments.
How? The investment is a promise to build a home.
> The Great Depression, the Great Recession.
If China descends into chaos, it could be alot worse than the Great depression, since so much of the world depends on China, and since they have a crazy arsenal of weapons.