Continually rising real estate prices and high incentives for home ownership have encouraged restrictive loans to those wishing to own a residence, but lacking the required wealth.
The resulting loans have had a deteriorative effect on the indebted, who are left with little money to invest or otherwise improve their financial position and standard of living.
Real estate companies, banks, the government, and already-established urban residents have indirectly increased prices by speculating on the booming market.
They have little or no money left for increasing their wealth through investment, which leaves them chained to the loans for long periods of time, or for consumption, which pushes down their standard of living, social standing, and personal development as well as the country's consumer economy.
Others concern the fundamental well-being[5][6] of the entire Chinese people, such as through improving income distribution by tax leverage, the social security system for both rural and urban residents,[7] and the economic development model.