Andy Xie, renowned Chinese economist, predicts that the housing prices in China will fall, particularly at remote areas with oversupply of residential flats – aka the ghost cities.
As China loosens policies to arrest a slowdown in property investment and the broader economy, debate has heated up over whether such efforts will add pressure to a housing market that many have called a bubble.
The slide in investment has Beijing worried enough to relax monetary policy. But policymakers should also be mindful that housing prices have hardly fallen from their peak, say analysts with a bearish view.
Andy Xie, a former Morgan Stanley economist now with Rosetta Stone Advisors in Shanghai, has for years been predicting a fall of up to 50 per cent in housing prices.
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Dr Andy Xie 謝國忠, Shanghai-based independent economist, has just been named “ 50 Most Influential Persons in Finance”by Bloomberg, and is currently director of Rosetta Stone Advisors.Dr Xie is one of the few economists who has accurately predicted economic bubbles including the 1997 Asian Financial Crisis and the more recent subprime meltdown in the United States. He joined Morgan Stanley in 1997 and was Managing Director and Head of the firm’s Asia/Pacific economics team until 2006. Prior to that he spent two years with Macquarie Bank in Singapore, where he was an associate director in corporate finance. He also spent five years as an economist with the World Bank.
Dr Xie earned a PhD in economics in 1990 and an MS in civil engineering in 1987 from the Massachusetts Institute of Technology.