”We are in the beginning of an international movement of money of historic proportions, something on the scale of the Marshall Plan after World War II or the British influence after the First World War,” said Jon C. Minikes, a partner at Jones Lang Wootton, an international real estate consulting firm. Besides real estate, the Japanese have become major investors in stocks, bonds and artwork in the United States.
From the New York Times published December 15th, 1986
Isn't that retarded white paper old news hinting that China will meet the same fate? If u equate Great China to Little Japan,future will tell u dead wrong.
@paulb.:
Thanks Paul- You are the man!
New Listings 251
Price Changes 119
Sold Listings 127
15,500
Tsawwassen Springs gets star power launch
http://www.bclocalnews.com/richmond_southdelta/so…
Hoo boy
Michael Bubbles and Bluce Allen in on this.
Good enough 4 me
I think I get in line up
PS…….I guy with bowl cut and coke bottle eye glasses
funny..I the guy beat Toigo's daddy for Expo Lands…
What is it with East Asians and this ridiculous belief of theirs – are they really that stupid?
Look in your own backyard. East Asians don't have exclusive rights to this belief!
Meth man
Are you trapped in fortune cookie factory ?
On typewriter or baking section
I probably own it
Now get back to work and quit watching midget porn
"''Most Japanese real estate investors believe that the value of real estate will never decline,'' said Tatsuo Wakabayashi, manager of the real estate advisory division of the Mitsubishi Trust and Banking Corporation."
Boy did that assumption ever get rocked.
What is it with East Asians and this ridiculous belief of theirs – are they really that stupid?
I'm looking forward to seeing China's fake economy go tits up when their real estate bubble blows up and trillion of dollars of loans go bad.
Good thing they have those reserves, they'll need them.
At least they're way ahead of Japan as far as their bust goes since their stock market has already tanked and real estate is the other shoe to drop.
Japanese
No likee
Bad drivers and bid up real estate
We need to bring back head tax
bwahahahahahaha
1) It'll last longer, when taking into consideration of China's population vs Japan's.
2) Japan practices a different value system, i.e. putting other people's sensitivity above own. Hint: hoarding & rampant profiteering have brought out riots in the Philippines, Indonesia, Vietnam, and Malaysia.
3) Damage to other countries/cultures is minimal and controlled, based on what I witnessed of Japan's generosity in restoring art & historical sites in Milan, Vatican, Florence, Hawaii, etc.
Calgary is starting to go negative again … last time this happened was just before the financial crisis. Coincidence?
Oh, and politicians absolutely LOVE laws that have no real effect but makes it look like they're doing something — the first law of management in politics is not to screw anything up. I can think of a few laws enacted by the Clark Liberals recently that fall along those lines…
@patriotz: "What’s our excuse?"
Australians instituted foreign ownership restrictions and have higher interest rates. Did foreign restrictions have much tangible effect? I don't think so, given most buyers were locals, but it arguably scared off some of the momentum money.
If Vancouver thinks it has some hot money sloshing around the property market making it unaffordable for our Sons and Daughters, the solution is simple: come up with some foreign ownership law that has no real effect on the market but scares everyone else into thinking it will kill investment. How do I know it will work? Look at Richmond sales after an earthquake half a world away. Money will leave at the first signs of trouble.
Write your MLA candidates. An election is coming up and they love wedge issues, especially ones that blame non-voters for voters' ills.
@patriotz: Canadians believe we are superior to US in every way. 🙂
Mish: Australia headed for bust.
http://globaleconomicanalysis.blogspot.com/2011/0…
Except for my economist friend Steve Keen, I have to ask: Has anyone down under learned anything from the property bust in the US?
Well they are on the other side of the world after all. What's our excuse?
@WFT?:
Anyone know for sure?
Q: How do you differentiate between Japanese and Chinese these days?
A: With Geiger counter!
Can we change HAM to SPAM as in "Stupid Parasitic Asian Money?"
"China however is really growing, even if it is from a low base"
This is true. China also has: an inflation nut that's proving difficult to crack, a waning competitive advantage relative to its peers, and slow and inefficient fiscal policy projection mechanisms. Unless China is unlike every other developing-world success story in the past 500 years, it won't be a straight line.
There were some regional RE bubbles in the US in the late 80's, but there's no evidence that Japanese buyers had anything to do with them. Japanese RE purchases were of commercial properties and I don't think they ever bought individually titled residential RE in appreciable numbers.
Chinese purchases (offshore and more significantly immigrant) are clearly much more a factor in Vancouver today, but I still feel that today's prices would be impossible without the mass of local buyers supported by easy credit.
IMHO the biggest impact from a Chinese RE bust in Vancouver would come from an associated commodities bust and its impact on the Western Canadian economy, not from a falloff in RE purchases by Chinese. Which would be a repeat of the 80's really.
"Bubbly, I see your point but the govt can’t mask that country’s huge appetite for energy and resources, which reflect the underlying growth."
Ummm sure – like you don't have a huge appetite for consuming raw materials and energy when building massive amounts of infrastructure that will never be used (new airports, terminals, mega cities, etc)
Sorry here's the link:
http://www.tradingeconomics.com/japan/gdp-growth
Bubbly, I see your point but the govt can't mask that country's huge appetite for energy and resources, which reflect the underlying growth.
@chip: You have a point, however, the Chinese GDP numbers are compiled and reported by the Communist party and include such productive enterprises like the building of ghost cities and empty mega-shopping malls.
If you look at this graph of Japanese GDP growth from the 80s you will see it never rose above 2.5% and was often much less. So Japanese wealth at the time was clearly the product of an asset bubble with no underlying wealth creation.
China however is really growing, even if it is from a low base. Property bubble aside the country is undergoing massive and unprecedented wealth creation, the results of which will affect us one way or another.
Of course, the Japanese went right on buying for another 3 years. I think we are a bit beyond 1986 in the China bubble though. I do not think they can avoid a hard landing, and I think their efforts to avoid one so far have only made things worse.
@Anonymouse: speeeleng waz nevr my strong soot 🙂