Business news without the bullshit

China's Ghost Cities

Central Planning's Pitfalls

Subscribe to RealEconTV

Your e-mail address is kept absolutely private
We make it easy to unsubscribe at any time

History in reverse

Normally, cities grow up around economic activity and if they become "ghost towns" it's the result in a shift in economic activity.

Building an entire city by plan and that city remaining a "ghost city" after being built is - well - spooky.

We're not talking about an apartment building or even a complex of buildings, we're talking about an entire city.

When you look at China's "miracle" statistics keep in kind that a huge portion (more than is safe or sane) of their GNP is construction?

How long can you keep juicing an economy with construction projects like this before it implodes? There are currently 64 million empty apartments in the city.

If any other country - including the US - did this we'd declare the planners insane.

Well, if the shoe fits...