The speed, with which the formerly purely communist China is embracing capitalism is breathtaking. In fact, the speed is so frantic that it leaves behind us -the people. Ten large cities are being built every year. Property bubble has created suburbs (yes, China has them) lacking actual habitants and shopping malls waiting for customers to arrive. The reason? The vast majority of Chinese people simply do not possess the means to purchase these brand new homes or visit the few operating shops in these brand new shopping "paradises". Seventy (70) % of the new apartments remain unoccupied.
The Chinese government´s belief in growing its economy with massive building is unparalleled. Simply continuing to build without demand obviously cannot continue forever.
This video gives a look of the growing phenomenon, which we might also call an example of groupthink gone horribly wrong.