this post was submitted on 29 Jan 2024
341 points (98.3% liked)

World News

39174 readers
2274 users here now

A community for discussing events around the World

Rules:

Similarly, if you see posts along these lines, do not engage. Report them, block them, and live a happier life than they do. We see too many slapfights that boil down to "Mom! He's bugging me!" and "I'm not touching you!" Going forward, slapfights will result in removed comments and temp bans to cool off.

We ask that the users report any comment or post that violate the rules, to use critical thinking when reading, posting or commenting. Users that post off-topic spam, advocate violence, have multiple comments or posts removed, weaponize reports or violate the code of conduct will be banned.

All posts and comments will be reviewed on a case-by-case basis. This means that some content that violates the rules may be allowed, while other content that does not violate the rules may be removed. The moderators retain the right to remove any content and ban users.


Lemmy World Partners

News !news@lemmy.world

Politics !politics@lemmy.world

World Politics !globalpolitics@lemmy.world


Recommendations

For Firefox users, there is media bias / propaganda / fact check plugin.

https://addons.mozilla.org/en-US/firefox/addon/media-bias-fact-check/

founded 1 year ago
MODERATORS
 
  • A Hong Kong court on Monday ordered the liquidation of real-estate developer China Evergrande Group.
  • Evergrande is the world's most indebted developer with more than $300 billion of total liabilities.
  • It defaulted on its debt in 2021, sending China's struggling property sector into a tailspin.

———

A Hong Kong court on Monday ordered the liquidation of China Evergrande Group, a move likely to send ripples through China's crumbling financial markets as policymakers scramble to contain the deepening crisis.

Evergrande, the world's most indebted developer with more than $300 billion of total liabilities, sent a struggling property sector into a tailspin when it defaulted on its debt in 2021.

That deepened a debt crisis in the sector and sparked many other company defaults in a damaging economic blow that to this day remains a drag on growth.

A liquidation ruling of the developer which has $240 billion of assets will likely jolt already fragile Chinese capital and property markets.

Beijing is now grappling with an underperforming economy, its worst property market in nine years and a stock market wallowing near five-year lows, so any fresh hit to markets could further undermine policymakers' efforts to rejuvenate growth.

you are viewing a single comment's thread
view the rest of the comments
[–] avidamoeba@lemmy.ca 5 points 10 months ago* (last edited 10 months ago)

If you stop thinking about the metadata (the financial part) of the system and instead you look at the real system in terms of resources available for ensuring a decent standard of living, you might possibly find that the working population can farm, manufacture and service its own and it's retired population's needs. China could make the reforms needed to adjust the meta to fit the real system that supports this standard of living. It might for example remove failed markets from parts of the economy such as retirement savings, replacing them with universal pensions. Of course this isn't unique to China, but such reforms depend on how firmly a nation has bought into the neoliberal ideology. My point is that in general, the financial part of the system never matches the real. There's always discrepancies (e.g. positive and negative externalities to name some) large or small. It's a model. It seems to me that we often make the mistake to consider just the model and drive real decisions and predictions based on it even when it drastically diverges from reality, sometimes with horrific consequences. E.g. the model says increasing extraction of fossil fuels is fine when we have scientific proof it isn't.