Girls work hard in the first-tier cities of Beijing, Shanghai, Guangzhou and Shenzhen, live in pigeon cages, cut down on food and clothing, and live in poverty.
When I returned to my hometown for the Chinese New Year, I found that everyone built villas, drove Mercedes-Benz BMWs, placed orders for coats of thousands of yuan, and drove to the provincial capital Sam every week'S Club purchased lobsters, and the result was directly broken.
In many counties, wealth is largely maintained by the ever-increasing issuance of urban investment bonds. This means that when the girls who are struggling in the first-tier cities rely on their labor and wisdom to make money, the small counties in their hometowns of Jiangxi, Guizhou, Yunnan and other places have borrowed huge amounts of urban investment bonds.
With the launch of infrastructure projects, from the project party to the contractor to the upstream building materials and equipment supplier, they have all made a lot of money over the years.
Therefore, those young people who used to live in their hometowns and could not get into college, or who returned to their hometowns after graduating from junior college to work on infrastructure, municipal or garden projects with their parents, eventually became people who drove BMWs, applied to build their own mansions on homesteads, tasted lobsters every day, and bought bags and designer clothes every week.
Compared with those rural children who went to Beijing, Shanghai, Guangzhou and Shenzhen to engage in Internet, sales, ** or finance industries, once the industry is sluggish and they can't afford the high housing prices, their lives will naturally become unsatisfactory.
However, the question is, who will eventually repay the borrowed money? If the county is short of money, go to the province for help; If the province is unable to repay, it will issue special financing bonds to the ** treasury. In the end, the government will have to rely on the taxes, individual income tax and value-added tax of countless small and medium-sized enterprises in Beijing, Shanghai and Shenzhen in the future to repay this debt.
This model of economic development portends an unsustainable future. Therefore, infrastructure and debt management needs to be more prudent and pragmatic to ensure that the economy continues to grow without serious negative impacts.
The development model of over-reliance on urban investment bonds may have a variety of potential impacts on China's economic and social stability
1.Debt risk: Over-reliance on urban investment bonds may lead to an excessive local debt burden, which will lead to instability in the economic and financial system in the event of debt default or inability to repay.
2.Unsustainable development: The urban investment bond model will lead to excessive expansion and waste of infrastructure, which will affect the rationality of resource allocation. Excessive debt investment can lead to a surplus of infrastructure rather than actual needs, ultimately wasting resources.
3.Uneven regional development: Urban investment bonds are mainly used for infrastructure construction, which may lead to a shift in resources towards large cities and developed regions, exacerbating regional development imbalances and the gap between the rich and the poor.
4.Risk of economic fluctuations: When the urban construction investment model becomes one of the main drivers of economic growth, the risk of economic fluctuations will also increase. If the inflow of debt funds is blocked, it can trigger an economic crisis.
5.Pressure on people's livelihood investment: Over-reliance on urban investment bonds may lead to local governments being overly inclined to the infrastructure sector and ignoring investment in education, medical care and other livelihood fields, which may affect the quality of life of residents.
Therefore, it is necessary to establish a more sustainable development model, focus on diversified economic development, deepen reforms, strengthen financial supervision and risk prevention, and improve the transparency and standardization of debt management, so as to ensure stable economic and social development.