Can China's Property Market Dampen Growth in 2017?

The transcript discusses the rebalancing of the economy, focusing on fixed asset investment and the role of state firms. It highlights limited loan demand from the private sector and increased lending to households, leading to a property market bubble. The discussion covers the shift towards consumption-driven GDP growth, driven by property transactions, and the risks of an uncontrolled property market. The transcript explores reform options, such as state-owned enterprise reform and land policy changes, while noting the challenges and disincentives. It concludes with government measures to control the property market and the need for behavioral change among buyers.

What is the main driver of the property market entering bubble territory?

• Decreased household savings

• Increased private sector investment

• Enormous increase in residential mortgages

• Rising state firm investments

What is one of the difficult options for reforming the property market?

• Boosting credit growth

• Reducing state firm investments

• Reforming land policies

• Increasing private sector loans

What has been the impact of tightened monetary conditions on GDP?

• GDP has significantly decreased

• GDP has remained relatively stable

• GDP has increased dramatically

• GDP has become unpredictable

What measures did the government introduce to control the property market?

• Increasing land supply

• Reducing state firm investments

• Raising down payment levels

• Lowering interest rates

What is a potential consequence if buyer behavior does not change in the property market?

• Property prices will stabilize

• More draconian measures by the government

• Increased private sector investment

• Decreased state firm involvement