Shanghai Is Done! Middle-Class Downgrading Fast: Wealthy Women Worth Millions Now Buy $5 Clothes

[@TheBigExclusive]

It seems like Chinese citizens got a taste of luxury when foreign companies invested heavily in the country for about a decade. The citizens got used to the expensive high-end lifestyle. But now that foreign investors and companies are pulling out, the citizens are having a very hard time adjusting back to the new normal. The luxurious lifestyle they are used to is not the norm. It was only a temporary high. The people who are saving their money in this video are very wise.

[@Michael9-23-15]

You nailed it.

[@patrickt49]

Saving money isn't wisdom. It's common sense - something that's not present in this day and age anymore unless you're forced into it under such extreme circumstances.

[@matthewmosier8439]

​@@patrickt49Sadly, saving is not a good idea, at least at the moment. Inflation "spends" your saved money even while you are sleeping. Investment in tangible, useful, stuff, is better than 1's and 0's in a bank

[@talkingbutt3150]

The phrase _“WE DON'T APPRECIATE WHAT WE HAVE, UNTIL WE LOSE IT"_ comes to mind.

[@DerUnglaublicheFrank]

Agreed but with some caveats. Not every citizen enjoyed such a luxury lifestyle, not even the majority of people. Secondly, while saving money is a rational thing in western countries, saving money where the entire economy is run by an extremely supressive and volatile government isnt the best choice either, you should save a bit but you can't be sure your money will be worthless tomorrow or confiscated by the government.

[@patrickt49]

Don't Chinese understand that just because you're a millionaire/billionaire doesn't mean you have to be covered in expensive brand name clothes from head to toe? Not all rich people flash their wealth.

[@Michael9-23-15]

They are empty souls 😔.

[@Nehockeyplayer]

Yup at least 600 million Chinese will parish before the war ends that starts in maybe 2027-2032 maybe before that when Xi-jinping invades Taiwan theres only 1 billion chinese in China not 1.5 ! 500 million parished from Covid BUT THE CCP WILL NEVER EVER SAY THIS🇺🇸🇺🇸🇺🇸🇺🇸

[@genkibob]

After all, this is basic Sun Tzu. When strong, appear weak; when weak, appear strong. It's the same with money.

[@Michael9-23-15]

@@genkibob That makes ¢ents.

[@suexec]

Depends where in China. Hong Kong and Guangzhou can have millionaires and wear shorts and sandals.

[@HcCh-sm8kk]

Until the day they all wake up and realize who cause this downgrade in economy, they get no sympathy. Hint: who keep driving all the foreigner business to leave the country.

[@GizzyDillespee]

11:19 "....His salary was cut by 20% as part of a national initiative to reduce pay..." So, they're not just driving away foreign investors. Between blatant cash grabs, seemingly arbitrary back taxes and extra fees, and recent stock market shenanigans, it seems that the CCP is trying to reduce both foreign AND domestic investment. The people aren't spending. However, if the CCP really is planning to print an extra 10-15 trillion yuan, as an economic stimulus, then a cash-filled mattress or a minimum interest savings account won't keep up with inflation. It's as if the CCP isn't sure what it wants to do. They're reducing government salaries at the same time as printing much more money. Normally if you print stimulus money, that also coincides with rising wages. If you get lower wages and strong inflation, that's unusual. So, I do feel sympathy. They average over 800 protests each month (and probably many more that aren't visible enough to watchdog groups to get counted). Many of those are from desperate groups of employees who haven't gotten paid, and people who got scammed by banks or developers. Despite the consequences, which are much worse than for protesting in the West, people still take to the streets. They make the protest signs by hand, because a printing shop would get in trouble too, if they printed the signs for the protesters. So, I have some sympathy for their plight. I wonder where all of the money is going, if the CCP are printing it as if they were counterfeiters, and yet lowering wages and raising taxes and fees, and not paying local governments much... where is the money going? Is it going to CCP officials' pockets, Belt & Road countries, the military, or all 3? Those seem to be not the best priorities.

[@lazyhusband]

They realize but what do you think they can do without being thrown in jail?

[@dasbubba841]

@@GizzyDillespee The core issue is the CCP's abysmal handling of the property crisis. A lot of people took out some serious leverage to buy overinflated properties which now aren't selling, or in many cases aren't even finished. That "wealth" is all illiquid, because no one wants to buy unless they have to. So, what happens when you dump all your savings into a property that won't sell for what you bought it for? It's a flat loss. Local governments were also heavily involved in the scheme and are basically insolvent. The national government wasn't, so it has comparatively low debt levels. That's where all the printing is going: to bail out local governments. It's just not enough. Also, China's banking sector is largely insolvent too, especially at the local level. BRI is basically dead, as Chinese banks don't have the credit to invest into risky overseas projects. Maybe some SOEs are still in, on paper, but probably not for too much longer. Cuba suffered a massive blackout because Beijing could no longer prop up their economy.

[@leerussell8499]

Corporate masters are no different than the CCP buy local

[@marcuslloyd8218]

That's all smoke. Should be thinking with insight. This is capitalism. The problem. Not sustainable under any type of government or logical

[@nerdlingpodcast5639]

Tiktok and quality are not 2 words that should be used in the same sentence.

[@roe3805]

if you're only ever in contact with shit quality then if anything that is slightly less shit will seem great

[@richardzeitz54]

Don't Chinese middle class people have anything to do beside shopping? It seems like all I ever hear about is how they can't spend so much, can't buy this or that. Or how they were suckered into bad real estate or stocks. Don't they have hobbies? Travel? Read? I'm poor as heck and I don't mind, so long as I've got health care. I'm under the poverty level, happy without cars and fancy new clothes. Is all they do in China is live as busy consumers? What they need are some hippies or maybe religious people, somebody to show them there's another way to live. It's sad.

[@arcoc2133]

They have no religion in China and they don't do weed

[@2RosarioVampire]

Chinese people already are huge tourists. They do it all. It's just that after basic needs are met, what do you do with money? You buy buy buy.

[@patrickt49]

Watch the China Show. It's hosted by 2 foreigners who used to live in China. They said that hobbies really aren't a "thing" in China. It's the complete opposite from Taiwan wherein subcultures of people exist who pursue similar interests. It seems like people in China only pursue the superficial.

[@paulosullivan3472]

The chinese live under a left wing communist government. This means if you say something the CCP doesnt like you will end up in trouble with the law or perhaps even just disappear. You cannot have a hobby with friends when one wrong word could ruin your life, so they shop as its a safe thing to do, spending money doesnt get you into trouble.

[@glass1258]

Their religion is the CCP all other religions are illegal

[@emersonshiff8132]

Something tells me these people are cash poor.

[@MrGerdbrecht]

cash poor means?

[@patrickt49]

What people fail to understand is that owning multiple properties can be a headache. They all have to be maintained and a property that sits empty is costly. But people are only concerned with ownership and not cost of ownership which shows a complete lack of understanding. And it seems like 80% of people don't get this basic concept. Also if you need money, you can't liquidate part of your apartment, you have to sell the whole thing and in a market like China's, nobody is buying properties so you're essentially stuck with it until you croak.

[@emersonshiff8132]

@@MrGerdbrecht House Rich, Cash Poor. You have a fancy house but your wallet is empty, probably because of your house.

[@DerUnglaublicheFrank]

@@patrickt49 Don't forget that you don't own the house in china, you only lease it for like 70yrs or so from the CCP.

[@dogefromthefuture]

Lol😂

[@stoveguy2133]

My house is worth 4x what I paid. But I can’t get a replacement in another town for less. So, I’ve “made” nothing.

[@newbiekhyber]

Best statement I've heard in a long time.

[@TKsolotravel]

Non Aus citizens shouldn’t be prevented from owning land in Australia! It just forces prices up for Australians

[@homerj806]

"I didn't make millions of dollars by throwing my money away." - Quote from every self made rich guy.

[@Hunty49]

The rich excel at looking poor. The poor excel at looking rich. There's a reason the rich are rich and the poor are poor.

[@louisdiedricks7110]

600,000 yuan to keep two children in international school is roughly $ 80,000. Take the two kids out of that school, hire a tutor, and take them to the park to play with other children. Pocket the $ 80,000.

[@neodym5809]

The Chinese education system is brutal. By taking them out of a good school, you take away their chances to access a good university.

[@louisdiedricks7110]

@@neodym5809From what I'm seeing on some of these KZbin videos is that over 50% of university graduates are jobless. And many of those who do find jobs; have jobs that don't really require a college education.

[@leiag201]

They probably don't have a week's worth of food, but they're spending money on junk apparel.

[@CanMav]

The only people who call Shanghai people refined and elegant are they themselves. Everyone else calls them peasants.

[@jillthompson6110]

You can put lipstick on a pig, it's still a pig.

[@sir.bananasplit]

same with ur mom

[@garyhaslam5330]

Those idiots dont understand 'quality', trust or fair play.

[@Sarcasteak]

By idiots I assume you mean the Chinese

[@gordonpatton7507]

It's called being frugal and it isn't strange behavior. It is inherent in becoming wealthy to begin with. You don't spend more than you make and the less you spend the faster your reserves of wealth accumulate. People who spend without regard rarely remain wealthy.

[@pluna3382]

People who think they are frugal can often be cheap penny pinchers. If someone else is financially stable, you have no business screeching at someone for spending out of what would be your comfort zone. Stop being insecure and fix yourself.

[@gordonpatton7507]

@@pluna3382 Did you take that as a personal attack of some sort? Who is the insecure one?

[@Ukie88]

How can she pay for two residences in Australia. Something wrong with this picture.

[@donaldkasper8346]

Pre 2008 economic crash money.

[@amberrj.]

U only have to make about 12k/year to be 'middle class' Chınese. If you're not rich, then you're basically poor in Chına.

[@SeaRaven227]

Over 600mil Chinese make around 1000 Yuan a month... ($140usd) Only about 1% of the population is making MORE than the poverty line of the US.

[@amberrj.]

@@SeaRaven227 yea. Tbh idk why the misleading phrase "middle class" even exist in Chına. It's identical 2 poverty.

[@joshuazwikielberg3230]

Own 2 houses in Australia and call your self middle class 😂

[@phoenix5054]

Yes, because the real upper class owns an entire building in downtown Sydney? There are levels to middle classness you know? $300k annually is a lot of money, but is nothing to someone who owns $30M.

[@lance8080]

Rice farming is the new craze in all of China 🇨🇳 🎉🎉🇨🇳

[@lifesyphon1]

It really is so freeing when you stop caring about brands. It brings a whole new life into view and the amount of pressure you feel decreases tremendously!

[@Xerophun]

Japan is going to be the only one standing in Asia after all is said and done. They saw what was coming 40 years ago and made plans to ride it out. Everyone else there still acts like they're the prettiest girl at the ball. Strange times.

[@mikewolf-x6t]

Your so right, there is no other Asian country who's immune

[@sufi8903]

You do realize that Japanese have to work themselves to de*ath just to afford a roof over their heads 🤔 What's happening in China is not unique..it's a global issue...

[@phoenix5054]

What do you mean? Japan's GDP is steadily going down and their currency is becoming worth less and less.

[@sufi8903]

@@phoenix5054 it's not China

[@phoenix5054]

@@sufi8903 Yes, but they're having similar problems. Both China and Japan are also losing population naturally and are aging countries.

[@Charvo75]

This is similar to the real estate bubble crash in Japan in the late 80s. Asset bubbles are a killer.

[@donaldkasper8346]

The difference between China and Japan is that in a downturn, Japan won't raid all your assets and steal it.

[@haraldx8873]

Why do people with money have money ? Very simple : they don't spend money on nonsense and/or overpriced ítems.

[@harishrg777]

honestly finding good deals is not downgrading, is actually normalizing the market. coz it was over inflated and had absurd consumption levels. Buying for means and living with necessity was and is the ideal way. Until consumerism was tuned up a notch but toning down is not bad. Makes room for good choices on knowing that u can live without splurging, however this should not turn into poles of deflation. But for businesses is a challenge and on govt side, they also take some honest assessment on their standing with international market.

[@lazyhusband]

Shanghai people will be the first to go against the CCP

[@CharlesTing-p2d]

Shanghai??? The whole of China is done!!!

[@lwekzPeyekz13]

I guess not. A country isn't done just by this kind of crisis. I'm not chinese, but i alway admired these people survival. They can survive in all over the world. Except, like usual, USA intervene. Because USA is the most evil country who used to destroy other country

[@tedzehnder961]

Chinese seen to have a herd mentality that if a group of people say an activity is good or, they must conform everyone wants to try it or have it.This isn`t just the Chinese people of course, that have this urge to act the same, have the same things, admire the same people, follow directions, but it is more prevalent it seems in Chinese society.I think it starts in Chinese public school, to learn and not to question the teacher, to believe is true what authority says is true, but repeated. Young people all over the world have this craving to fit in to look "normal" but this trait usually fades when people turn 30 or so yrs old. they are not as concerned about what other people think of them, But I see older Chinese chasing after the same things.

[@RayMak]

It’s true

[@nicolastimlin1019]

Keep in mind that quite a few people are worried or frightened about the current economic decline. It is then a very rational decision to reduce spending alot.

[@HungoverHistorian-zf6gi]

Yup. Not a Chinese but come from a country hit very hard by the 2008 crisis, with current real wages lower than 1990. I’m used to thinking of expenses as percentages of my net worth rather than my income, and this has definitely made me frugal

[@gavinlew8273]

As an economist, one wouldn't be overly concerned...it's just normal market forces playing out...and the repercussions of a few bad policies.

[@guillaumebartys4437]

it's well known that those with money are the most skinflint of everyone !!

[@fialee8]

Here is a little discussed secret.... you don't get, or stay, rich by giving your money away.

[@nicholasleow4749]

The narrator's friend is right - 60 yuan for a H&M top is overpriced. I've bought their clothes before and the quality is disappointing. I'd rather pay more for better quality from other brands.

[@tarey05]

Made in China

[@PhilipnesChistrin]

judgmentcallpodcast covers this. e-class consumer spending declines.

[@jadyynstarlight9851]

During inflationary times, you want to buy appreciating assets (IE houses). During depreciating times, you want to hold cash. That 4m house will only be worth 1m. You will lose 3m.

[@trajanz9557]

middle class downgrading in america is because people are starting to get affected by the scarcity mindset seeing inflation numbers rise. Overall the middle class IS falling but stable. China has an actual economic crisis justifying the feelings of scarcity and consumption downgrade of the middle class. They are doing the smartest thing, holding on to their money. And IF the CCP decides to dole out cash to the public to stimulate consumption/economy, no one can blame them for saving it and throwing it under their mattress because how the past 4 years have been, and how the next 4 years look like.

[@kurtfox2481]

Second speaker seemed to humble brag. She started off saying she bought a couple of properties for thousands and now they are worth “millions and billions” Is this the statement of somebody who is being honest? Billions?

[@6B26asyGKDo]

Yuan....

[@freindofdorothy5822]

Properties in China are ridiculously expensive. She thinks on-the-paper her property worth billions but at this economy... she won't find a single buyer. And the properties in some areas will get cheaper becasue of urban decay

[@HereticalKitsune]

While money is still there I'd rather buy high quality clothes that can last a long time. Pay for good quality (if that exists there) once rather than thrice or more for cheaper stuff that breaks and costs more in the long term.

[@OchiengMelisizwe5]

also health insurance

[@CornellAllan]

Christmas 🎄 is coming when they hear that holiday season music it will be packed watch in see the magic works every year.

[@markmywords9372]

Your assets have depreciated sharply, and you can't sell when nobody is buying.

[@wheezysqueezebox7651]

Xenophobia and Wolf Warrior Diplomacy...

[@BalmoralBaal]

Rich people are always the most careful in such a situation!!

[@Minifutzi_o.O]

I've a Taiwanese friend who works in Shanghai and he says that there wouldn't be any bad development in the city.

[@manuelmelchizedek4309]

Beautiful lady 🎉🎉🎉

[@tarey05]

Filters, dude

[@controllerplayer1720]

the dowry is one of the main problem in china this is why many men and women cannot get married..

[@AnthonyErnst-li5rz]

11:30, same serial numbers!.

[@yohobin]

I hope at the very least Guangsho does better!

[@MkIggy]

Guangzhou

[@GizzyDillespee]

Gong Show

[@rpgbb]

@@MkIggyCanton, Peking, Nanking

[@arcoc2133]

Cum show

[@anonymousmc7727]

The richest people on earth you’d never know they don’t wear fancy things….😂

[@westf.793]

It's quite obvious, many since National Day had gone overseas to shop and dine out, thanks to Fan BingBing spending spree across SouthEast Asia. Look at how many of them can afford to buy expensive durians. Many even came to Uncle Roger Restaurant too, FUIYOH !

[@ChinaConsultingTravelBlog]

I promise they all have the most expensive iphone though, instead of a 1200 yuan vivo.

[@glories2276]

Actually these people are too rich to accept middle class spending. They are still good to go with normal life !

[@elvirahaydter2940]

Once "Nature's Rule" of everything being connected is disrupted, surely there is a price to pay!

[@OchiengMelisizwe5]

wealth is the money you don't spend. lesson: don't spend

[@valbeauregard5190]

These people are not poor watching this video they are just not spending as much they used too , which is the sensible thing to do in time of economic uncertainty.

[@srinidhikarthikbs981]

Owning a bunch of houses that no one wants to buy or live in isn't the flex they think it is.

[@LK-tl1wr]

Not frugal being smart economy is not the way it was. Price of goods are high everywhere, job is not secure raises are minimal only if you get one.

[@iatethecrayons]

Having chinese real estate is like owning multiple old sheds in tennesse.

[@k00va1]

No hope any more she sold her Porsche 😂, not sad at all her not being able to afford Porsche.

[@merlynalexander]

Old wealth never isxa walking advertisement. These people are rich because they don't throw the money away on designer crap and flashy everything. You can always tell first or 2nd gen wealthy people because they're so tacky.

[@Anonymous-xq3cd]

It will just get worse once war breaks out between China and Taiwan. You never see a country that is involved in war booming with wealth and prosperity. For example Russia, even if they are the stronger country in the war, their citizens are suffering economically. War drains the resources of a country, it doesnt matter if you are doing the attacking or defending.

[@raylee9234]

If people can’t afford to spend they look at others who can

[@dongshengdi773]

I'm opposite. Now I'm buying a lot of useless things. My wife says why im buying useless stuff 😂 I replied, because we are now richer thousands of times over

[@haianh3936]

Thank you buddy

[@Kunfucious577]

Damn was the stock market crash that bad? It’s like the great depression

[@Forsakenruler]

Btw the people actually hold/save more money than the average gdp of a state in china

[@khokhosh]

Meanwhile Winnie @ Co are happily snapping up all bargain priced property & businesses.

[@kenhamaker]

It should never take more than an hour to vote anywhere more than an hour, making people wait, making it against the law to give them food or water is simply a way to discourage certain people from voting. Truly every state should have voting regulations that are universal throughout the country. Allowing states to make their own specific rules and gerrymandering is and should be unconstitutional

[@chanakya_nan]

Honestly... just looking at the video - China looks amazing... the development is so obvious. Even if the Chinese become a little miserly, the money is still there. I am not disagreeing with the message in this video, but looking at the video, China seems to be doing wonderfully well.

[@davidbeppler3032]

5:25 Empty restaurant open from 6am to 11pm with no breaks? Um... that is about 17 hours of breaks. Remember, no customers!

[@Mrhappy555]

China decided they wanted to dominate the world expanding all over Asia Africa etc. They assumed their world trade would continue but they were wrong. Now they will have to explain to their citizens what is happening

[@RushimaV]

Considering that Shanghai heavily invested in foreign business, it's not surprising they would be hit hard.

[@busking6292]

The thing is during this 'downturn' these buildings and infrastructure will not be maintained causing deterioration to the point of no return so even if an upturn was imminent,businesses would still be ultra-timid about investing having been 'stung' in the past e.g. in a row of boarded-up shops would you be the first to rent ? this is going to last for years.

[@jonmccormick8683]

These people are pretty flexible and have wealth. If the Chinese economy gets bad or companies move -they just move/adjust. -A big reason real estate prices went down. -Educated people with skills and means are very flexible.

[@traisucvat1930]

Vietnam is also the same = ))

[@tudo8412]

Cộng sản all the same. Kkk

[@caithyagyu3066]

Her frugal best friend is the perfect wife material.Congrats to her husband

[@onebridge7231]

The five properties she owns are most likely worthless and falling apart and she knows it but is not telling her friends.

[@TatyaVinchu2]

Sometimes the life graph goes down

[@Privateinvite]

Dang, and everybody becoming single too, alone and living in a 2bed apartment like an assassin.

[@chrisbfreelance]

Like an assassin? Haha

[@boratlion8613]

Consumerism is overrated

[@Prediculous]

They missed out on a massive bull run globally lmfao. Gg

[@gavinlew8273]

The wealthy at the top increase the burdens on those below.

[@ric6074]

Daily self fantasy ownself machine talk ownself happy channel for all😂

[@phnx4life]

What is she doing with two apartments in Australia?

[@donaldkasper8346]

The Chinese rich are frugal with their money because that is the last of it.

[@ksjhong]

What happened to SHEIN and Tein?

[@MeongMiao]

Rhythm of life.

[@Radio6future]

This could be the reason the CCP has pushing for war deals with civil unrest and with other countries also fighting seems like the perfect opportunity

[@kanzzon]

Ccp money is cursed! Stay away from the ccp

[@lizxu322]

Whatever. It's their money lol. The rich stay rich by not spending their money lol.

[@rolandhaekachandradewa_3144]

I dont think thats bad atleast for the people because they realizes that spending money on expensive items is useless and you be better of keeping their money for future need, but yeah china economy is going worse day by day

[@phoenix5054]

The good times would've lasted longer for China if only they remained close to the West. Same with Russia. But their leaders wanted to challenge the West for some reason.

[@King_Georges_Calcified_Elbow]

Will always make me laugh when poor to mid class overspend on useless crap just to show off. Nobody cares about what you own

[@auggieeast]

So how much is 30 yuan worth, like $4?

[@phoenix5054]

Yes. $4.22 to be exact.

[@japtadl4648]

Your greed hopefully will destroy your assets. If you don’t spend money, your assets will loose as well value. I hope your governments will increase your taxes so high you will have to sell without profit all your flats. Greed is not just a sin, it is THE sin.

[@DonYang73]

6 million yuan considered wealthy??? You gotta be joking.

[@davidsnyder3094]

More dollars than cents -sense

[@joep9171]

😂😂😂😂😂😂 Good

[@glass1258]

Winnie the Pooh better fix his economy 😂

[@kilnmaster]

Lived in China for 6 years warned you

[@m.gredemptor2610]

I'm from india, so I don't why/how/what coffee is more than 1 yuan.

[@daverees6681]

Wow. Sure looks like consumer confidence is down in China.

[@jtrade738]

Middle class chinese can purchase two apartments in Shanghai and two in Australia??

[@I_SuperHiro_I]

None of you are middle class. 4 apartments, 5 properties…..ridiculous.