Apparently China is currently undergoing an economic recession. This is partial to the Covid-19 lockdowns and now with the ‘ponzi’ scheme that is the real estate issue that many are affected with.
Why is it called a ‘ponzi’ scheme? Because real estate builders will pre-sell houses that are not built yet, and will collect the money from those sales to jump start another real estate development. Now unfinished developments are prevalent across China.
Now banks in China are freezing half a million bank accounts. The TikToker stated that China’s economy may collapse but commenters mentioned that China has a vast resource of hard workers and their economy will recover quickly.
