China need to up their can-kicking game

So are they poor or rich? Make up your mind!

Meanwhile here in italy when a major company fails and goes bankrupt because of shitty management, corruption and greed, we first "save" it with public funds, then sell it to someone else to profit off of it

A massive corporation going out of business sucks in the short term: people lose their jobs, among other financial woes. But if you keep bailing out failing corporations, you harm your economy in the long run because you're keeping a company artificially on life support using budget funds. The company will continue to fail and lose money, setting your country back years in terms of productivity and innovation, and your economy will fold inwards.

Property developers in China, unlike banks in the US, are not the backstop of the economy. They are not too big to fall: it's just that their distressed assets need to be managed to minimize losses to their customers.

watch market socialism with a government aggressively enforcing a strict bounded free market actually do capitalism better then capitalism

It sounds good because it sounds like the developers are the ones getting fucked over. But that's not really the case. They already made bank.

Chinas real estate development sector is mostly funded by pre-selling future projects. So the people who bought a unit that now never will be built are the ones truly getting fucked over. And while some of these people are other rich people planning on renting out these units, a big part are just regular people. Only about 25% of the population in China are renting. In some cities the percentage is higher but even in Shanghai and Beijing it's only around 35%.

So a lot of the people who are getting fucked over by this are people who bought their own home that now will never be finished. On the bright side they probably haven't paid the full amount yet but for many their entire lifesaving are still gone and saving up enough money to buy a new home will take a long time.

Sure the developers may lose a lot of net worth because their company isn't worth anything anymore. But they still have way more assets in their possession then they need.

how much of these developments were greenlit by government officials who are now refusing to foot the bills?

By that logic, most U.S real estate companies like Blackrock and Freddie Mae would be greenlit, could you be more specific...

If we just mean which ones were state-owned (because "privatized gains, privatized losses" as one said), not much

According to even "China collapser" Michael Pettis:

https://twitter.com/michaelxpettis/status/1610265849528717318/photo/1

Then again, it's Caixin, so you can double-check...

China has said they are going to take over projects under construction to finish them, which is good.

However, China still has to deal with a property glut, an elderly population who mainly used real estate to save for retirement, and local governments who needed real estate development to fund their budgets.

China is going to have to spend significant parts of its surplus dealing with this.

They don't "have to" clean up the totally innocuous graffiti