Monday, February 25, 2013

How to make two problems worse with just one policy





Anyone who has followed the headlines in Hong Kong over the last few weeks will know two things: one, homes in the city are blisteringly expensive; and two, the Hong Kong government has money coming out of its ears.


First: the property market. Home prices have doubled in the last four years. As a result, a typical Hong Kong family would have to save every cent it earned for 14 years in order to pay for a typical flat in the city.


Even the minimum downpayment on a mortgage would eat up four full years of household income. It's no wonder people are protesting.









via Business feed http://www.scmp.com/business/article/1157755/how-make-two-problems-worse-just-one-policy

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