China Bails Out Its Shipping Industry, Blows Latest Capital Misallocation Bubble
by Tyler Durden
That China’s housing bubble, the direct result of decades of less than efficient hybrid “capi-munist” capital misallocation, is the largest in the world is known to most. What may come as news is that in its attempt to prevent the wholesale collapse of yet another sector, the Beijing politburo, which these days has a perfect analogue in the “Monetary Mandarins of the Marriner Eccles building”, is preparing to blow up the latest and greatest Chinese bubble. We are talking about China’s sprawling shipping industry, of course.