China's penchant for property evokes US bubble mentality

Amid the government’s effort to pass aggressive legislation designed to cool the housing market, China’s home prices soared to record heights in October, underscoring the persistent danger of a price bubble, Reuters reports.

China’s booming market is reminiscent of the U.S. bubble, since it is driven in large part the view that property is one of the soundest investments. The government has said it intends to pass legislation aimed at curbing a possible bubble as part of what Reuters called its “boldest set of economic and social reforms in nearly three decades.”

Source: Reuters