China Ghost Towns
By Barry Ritholtz - November 13th, 2009, 2:30PM
In any great organization it is far, far safer to be wrong with the majority than to be right alone. —John Kenneth Galbraith
Macro Notes
US$ rally continuesPeter Boockvar
Asian currencies continue to sell off vs the $ on the heels of the news yesterday that South Korea said they will look into hot money inflows stemming from the $ carry trade and the Bank of Indonesia said they are looking into the foreign buying of bills. This follows the news a few weeks ago that Taiwan was limiting foreign deposit holdings and Brazil was taxing foreign inflow transactions. As I mentioned yesterday, we may have reached a short term pain threshold in terms of $ weakness and foreign countries are fighting back as they certainly won't wait for...
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November 13th, 2009 at 8:37 pm
Was this from Al Jazeera? or didi I mishear the attribution at the end?
November 14th, 2009 at 11:24 am
I saw something similar but on a smaller scale in Yunnan province at the border with Burma. My wife pointed out that our hotel was located in an empty new town that was about 10 km away from another one that was full of people. That was in 1996. While the developers may have had trouble for a while, ten years later the area was thriving as prices and economic activity adjusted to reality. I suspect that in a few years the same thing will happen with this particular case as prices adjust by enough to make the option of living there viable. That said, Jane Jacobs is probably spinning in her grave as this is the perfect example of the folly of central planning.