The Biggest Domino

Looking past the impressive growth rate, we reveal China to be a country balancing on an unhealthy level of borrowing and dwindling foreign demand. We ask whether the Chinese bubble might burst?

"They consume the lowest share of GDP ever recorded. It's not at all practical - it's not logical and it's not sustainable." In a city of bright lights and optimism, where everything seems to move at an impossibly fast rate, Professor Michael Pettis sees trouble ahead. He shows us a "ghost city" - a whole town in Inner Mongolia built from scratch, where row after row of apartment blocks, a theatre and a library, sit empty. It's a concrete example of China's "if we build it, they will come" mentality: state owned banks provide loans to more state owned companies who build and develop, paying taxes to local authorities - possibly where no demand actually exists. "You don't have an infinite capacity for borrowing", says Michael Pettis, "so one way or the other China will rebalance". But China seems undeterred. When the world economic crisis provoked a collapse in international demand for its goods, it responded with a massive $800 billion stimulus package. China's citizens are ever-optimistic, but could the country renowned for confounding the critics, for absorbing all economic glitches and charging ahead, finally get a wake-up call?

Produced by ABC Australia
Distributed by Journeyman Pictures

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  • Documentary

[LendMeYourHand]

I find it just fucking hilarious that a video was made about China, when the whole world is based off a criminal fractional banking system & is infected every economy Thruough the Mafia IMF. Yet, every fuck stick on this planet dont have the mentality to comprehend right from wrong. As a global banking cartel steal from the poor & send this world spiraling into holocaust. I have no faith in the human race anymore, when you people are this fucking retarded. Sell US debt for copper.

[demarcos69]

lmao@the rock band....

[crystal maze]

Communist party spokesman : You see, if you put people in labour camps that frightens the people and they work harder.

[LiveForPanda]

why westerners always worry about China so much? Western world does not export technology to China nor allow China to buy their companies, then China jas to spend its money on something, ie, luxury

[kuazexin]

I hate looking at those punks or "rock stars"

[kuazexin]

Go to hell u punks

[Djmademyday]

You got a pretty mouth. I wanna put things in it.

[LendMeYourHand]

Fuck yourself

[Djmademyday]

Trite. All of it. Might I ask if your intention is to enlighten us all to the human race's inevitable doom via a motherfucking rambling, barely coherent YouTube post?!!!! Additionally, someone, like yourself, who demonstrates an embarrassing adherence to proper spelling and punctuation practices should probably refrain from posting broken statements like, "when you people are this fucking retarded."

Read a book without pictures once in a while, before you wax your pseudo-intellectual drivel

[David Wise]

WTF

[FukaLama]

What a shame, China could produce such absolute garbage

[DiamondTheShadow]

China needs to buy more from Countries..