EGRNF - Short-seller Jim Chanos: China presents 'a 1930s kind of problem'

High-profile short-seller Jim Chanos said Monday that the rising militancy in China combined with the country's "precarious" financial situation creates "a 1930s kind of problem." In an interview with the Institute for New Economic Thinking, Chanos added that a meltdown of the real estate industry in China could knock a percentage point off of global GDP growth if it creates a recession in the Asian country. "I do think that it will affect global growth," Chanos, managing partner of Kynikos Associates, said of the looming crisis at Chinese real estate giant Evergrande (OTCPK:EGRNF). "China was a full point of the 3% global real growth we’ve had since the [great financial crisis]," the billionaire said. "Without China, it’s 2%." While Chanos thinks the Evergrande crisis could have a ripple impact on global growth, the Kynikos managing partner doesn't foresee it becoming a widespread contagion to the global financial system. He said that

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Short-seller Jim Chanos: China presents 'a 1930s kind of problem'