This is a series of CBS Island the World. I'm John Bachelor with Gordon Chang at

Gordon G. Chang and we're very pleased to welcome Ann Stevenson Yang, the author of the new book Wild Ride,

China's short-lived experiment in capitalism, we come to three sectors that

Anne guides us to watch very carefully.

One is manufacturing.

That is the sector that the US has enjoyed these last years of the Chinese miracle,

cheaper and faster and always from China until, and then the

second is the consumer class, China buying China. The most important to my mind is the property bubble that was created over these

last decades and is now crumbling.

And a very good evening to you, I read from the reporting at Bloomberg,

China may let local governments sell bonds to buy homes.

Sub had more than half of the 546 billion dollars special bond quota already used

Translate this Ann what does this mean they've got unbuilt and unfinished towers everywhere.

The secondary and tertiary cities are crushed by the debt they took on.

Nobody's showing up.

Nobody will live in housing that is inadequate from far from where they can get employment.

What does it mean to sell bonds to buy homes?

Good evening to you.

Good evening, John. John.

What it means is that you take an empty plastic bottle of Clorox, you cut it open and you bail the

Titanic.

You know, the important thing to remember about China is that to the the party

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