The well-known financial commentator Deng Jiang
In 2018, the “fall down” has become the main melody of all markets, foreign exchange, commodities, from the stock market, almost all of the market are down. If 2018 is what the most frustrated market, I think bitcoin is not.
Over the past year, bitcoin value fell to nearly 77%, bitcoin market capitalization from 2017 highs 1 trillion and 600 billion yuan evaporation.
The bear market, investors go bankrupt, suffered heavy losses, Shenzhen Huaqiang North Mine are sold by catty.
But in any case, bitcoin fell influence on us is still relatively small, after all, currency speculation is a large family of miners, is one of the few people, ordinary people participation is not high. But if prices fall, the effect will be almost all China people.
Some people say that the gross China real estate is $65 trillion, a total of more than three of the United States and Europe, we shall not go to prove the authenticity of the data, visual sense, Chinese property market volume is no less than any market, a huge base, no doubt.
I remember once in the textbooks have seen similar expressions, the “Plaza Agreement” signed, the Japanese real estate value is four times the United States, a Tokyo can buy the whole United states. Then the result, we all know, housing prices back to the source, it also confirms the principle of Marx’s law of value in economics.
If Chinese prices fell 1%, there are more than 1.6 trillion yuan, with Chinese property than that of bitcoin crash is really not what happened.
Just recently, investors seem to hear the voice of the housing market began to collapse. All mortgage rates have loose, average interest rate by 5 percentage points, and the Guangzhou Shenzhen four City lending accelerated, the interest rate to float downward, lending accelerated, there are indications that are undoubtedly lifts the crumbling property market, the market demand is slowing down, waiting for the “new leek” admission.
If prices really fell, for us, is probably not a good thing
First of all, the real estate market involves us in all aspects of the national economy, including financial and banking, commodities, building materials and other industries, once prices fall, will lead to slow investment, economic stall, decline in business efficiency. Which is why we feel right now, businesses are sluggish, wages, bonuses have declined.
Second, a large part of real estate constitutes the wealth of the family, if the family wealth, will lead to personal consumption tends to decrease. Consumer demand will further decline lead to atrophy of the national economy. Economic stall, decline in business efficiency, also means that wages and bonuses will decline.
Finally, because most people are buying from bank loans, equivalent to add leverage. If house prices fall, once personal income fell, not from the mortgage, the whole family will go bankrupt, ten years of savings may disappear overnight, just as the US subprime mortgage crisis.
So, keep prices stable is the best possible way