[RayChuang88]

No rule of law. No English common law. No history of democracy or fairness, especially to foreigners. No convertible currency.

In fact, there's also another problem: Chinese banks, unlike American banks, a also highly-leveraged, too. One wrong move in the Chinese economy and those banks will collapse like a house of cards.

Indeed, one good thing about what happened in 2008 was it forced American banks to stop being so highly leveraged. A bank like JPMorgan Chase quickly went out of their way to use TARP money to rebuild their asset base, paid the TARP loan back quickly, and as such they will likely be around for a long time to come. Indeed, do not be surprised that many European banks now suffering from the European sovereign debt crisis could become takeover targets for American banks a few years from now.

[Former Proud Canadian]

"One wrong move in the Chinese economy and those banks will collapse like a house of cards."

I think that is already happening. You can't build whole cities and 65 million apartments and leave them empty. That is not a productive use of the nation's investment capital.