The shadow of China’s economic contraction that began to uncover at the beginning of the year is apparently growing. The Fear of the second economic bubble is there. China’s rapid economic growth during the 2009 and also the high volume of property business has made many economic concerned. Moreover, China’s government plans to release a tight monetary policy to limit the frequency of credit that can cause such bad credit that had happened in the US in the 2008.

This condition was apparently not only responded by all market expert, economists like Prof. Nouriel Roubini was also quite worried about the condition. Economists and also the CEO of Roubini Global Economics is clear that the future global economic conditions are still shadowed by the threats of the crisis that still not over since 2008.

The fast recovery of Asian economies, including China which tend to be fairly resistant getting hit by the global crisis led to a prediction that the fundamental fragility of the economic opportunities make the area will not be strong enough in the continuing process of economic recovery.

Real estate became the primary focus of Roubini and he thinks it could be a “boomerang” for Asia economies, including China. After becoming a star in sustaining the economy in China, the rapid increase in China’s property sector became a frightening specter.Roubini himself agrees with what is done by the government of China that will impose a tight monetary policy before the occurrence of “asset bubbles”.

European Central Bank officials, Ewald Nowotny has said previously that currently many people are concerned about China’s property sector as it has the potential of “asset bubbles”. According to him, the current stimulus packages policies are also needed to encourage alternative sectors are safe from the credit crisis. Carefulness and accuracy of government policy application is very much needed at this time. China, now starting so-called “giant” new economy, must reduce the potential crisis in the property sector.

Roubini is also addressing the US economic development which he said has led to a positive level. Economic real sector data began to increase as the industry sector data, property and manufacturing, although on the other hand the unemployment rate still decreasing. Economic recovery is expected to slow in the US until the end of the first semester of this year. Despite corrections in the aggregate condition especially in the stock market is predicted to happen this year.

Poor condition will happen on the European economy.The threat of a Greek economic slump, which is also a member of EU concerned, became worse.The threat by the weakening euro will continue said Roubini.