China Property Policies

China's thin margin for error in property policies

Source: Associated Press

China's attempts to deflate its property bubble come at a perilous time.

Fears that the euro might collapse, unleashing a tsunami of financial and economic disruptions around the globe, have added urgency to concerns that China's campaign to cool overheated housing prices may go too far.

As economic growth wanes, Beijing has begun easing tight credit policies meant to cool inflation but China's leaders are insisting there is no leeway for loosening curbs on the housing sector.

"The decision has been made that there will be no more property bubble," said Andy Xie, an independent economist based in Shanghai.

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