Greenspan Talks About China's Economy, China's Bubble Can Not Be Avoided

Today, the former chairman of the Federal Reserve, Greenspan, appeared in the 2014 NetEase through trans oceanic connections. Economics The annual meeting of scientists and delivered a speech. Greenspan said in his speech that China's economy has already had a bubble and the bubble is inevitable. China should learn not only from social security but also from the collapse of the US property market.

Greenspan said, as western countries have experienced before, now China's economy There are also bubbles. However, Greenspan believes that the bubble is inevitable and should not avoid the emergence and rupture of bubbles. Instead, we should seek a resolute solution when the bubble burst.

China's social security system has always been the focus of attention of the Chinese people. Greenspan also expressed his own proposals. Greenspan believes that although there are still many imperfections in the US social security system, "there will be no big problems at all, which may not be copied to China, but it can be used for reference in China."

Besides, Greenspan Taking the lessons of the US property market crash as an example, it is a reminder that China needs to learn from other countries to establish a buffer mechanism. Greenspan said: the real estate industry debt can not be avoided, we pay the mortgage down payment or other real estate, as long as it is large enough, it can basically offset the price decline. "The collapse of the US property market is because we do not have a very good cushion mechanism. Whether it's bubbles in the United States, bubbles in Canada or Australia, the structure is the same. Many industrial countries have this bubble. But there is no crisis in Canada. Australia has no other countries. Why? Because they have a buffer mechanism. "