THE GHOST CITIES OF CHINA

Above is a photo of the Chinese city of Ordos Shi under construction. The city has been completed and is almost entirely empty. The streets, the housing estates, the shops, the municipal facilities are all empty. The locals prefer the old town of nearby Ordos and says that was no need 'for Beijing' to build an entirely new city.

Imagine Auckland devoid of people and you will get some idea of just how surreal Ordos Shi is.

It took five years to build this ghost city with funds created by a $585 billion stimulus package meant to boost China’s economy.

Ordos Shi is not the only 'ghost city' in China - see the satellite photos below for more examples.

According to the Daily Mail, some twenty new and unnecessary cities are being built each year.

The world's biggest shopping mall is located in Guangzhou. It is virtually empty.

This then is the 'Chinese economic miracle' that we have heard so much about. This is the reality of a Chinese economy that New Zealand politicians having been praising all these years.

This is the country that the Labour Government of Helen Clark was so keen to sign a free trade agreement with.

It is the economy that capitalist politicians hope will kick start the crisis-ridden global economy.

In August last year it was reported that official data had supposedly revealed that China's economy had overtaken Japan's, making it the second-biggest economy in the world. The problem is that the official data bears little resemblance to what is actually happening in China.

The ghost cities have exposed that China's 'miraculous' economic growth over the past decade has been the product of the Chinese regime's lunatic economic projects. China’s demand is not real but has been artificially manufactured by the Beijing bureaucrats.

According to research carried out by Time magazine, fixed-asset investment in the Asian country accounted for more than 90 per cent of its overall growth - with residential and commercial real estate investment making up nearly a quarter of that.

The Chinese Stalinists have constructed a property-driven economic bubble that is now threatening to blow up.

And the alarm bells have become to sound in the finance houses of western capitalism.

Said one British hedge fund manager last week: 'We think we’ve experienced credit bubbles over the past few years, but China is the biggest. And yet the global economy is looking to China as not just a crutch but a springboard out of the recession. It’s crazy.

Mark Hart of Corriente Advisors, an American hedge fund manager who made millions of dollars predicting both the subprime crisis and the European sovereign debt crisis, has now started a fund based on the belief that rather than being the 'key engine for global growth', China is an 'enormous tail-risk'.

He says that 'the Chinese economic miracle as the sickest joke yet played on investors.'

He says that he expects 'the economic fallout from a slowdown of China’s unsustainable levels of credit and growth to be as extraordinary as China’s economic outperformance over the past decade.'

New Zealand's politicians view increasing trade with China as 'vitally important (John Key) to pulling New Zealand out of recession. But what if the Chinese economy blows up as well? What if the Chinese bubble bursts as it did in the west?

What if the Chinese 'economic miracle' has been nothing more than a gigantic and monstrous fiction manufactured by the Beijing regime?


The empty city of Bayannaoer in inner Mongolia. The World Bank paid for a large water reclamation building that has never been used.


Half of Erenhot is empty. The other half is unfinished and has been abandoned.


A work in progress: This city has yet to be given a name.