From Business Owner to Homeless. China's Middle Class is Collapsing!

Shanghai, a symbol of prosperity and opportunity, once considered China's premier financial and luxury consumer center, is now in the throes of a deep economic crisis. The skyscrapers that were once the pride of the middle class have become burdened with debt. Housing prices have plummeted, businesses have closed, the job market is uncertain, and dreams of social advancement are fading. In this downward spiral, not only investors, but also civil servants, intellectuals, and white-collar workers, people who once believed in a secure future, are struggling to survive. As confidence is shaken, the financial system is crumbling, and doors of opportunity are closing. The question is, where will Shanghai go? And how many people can withstand this storm? Let's explore this topic together today. I just escaped the hell of the past year. No exaggeration. At the end of last year, I fell into a financial crisis in Shanghai. Overdue payments, debts piled up, and creditors kept knocking on the door. I used to be a senior employee of a state-owned enterprise, graduated with a master's degree, but I rushed into the homestay business and borrowed heavily to buy a three-bedroom apartment in Pudong. Then the pandemic and the broken cash flow pushed me off a cliff. The real estate was mortgaged again and again, the court seized it, and I was saddled with 5 million yuan in debt. Debt piled up from credit cards swiped to the limit, and WeChat loans with interest rates of 3 to 5 percent per month. I thought I could pay off the debt if I just held on for two more months, but reality slapped me hard. Now, I have six enforcement orders and six blacklist notices for default. Humiliated by former colleagues and almost disowned by my family, I had no choice but to leave Shanghai, taking my young child with me. What shocked me even more was that recently, I accidentally discovered that the secretary of the state-owned enterprise where I used to work was also hiding from debt everywhere. His debt collection messages were even forwarded to my phone. I couldn't believe it. I always thought that only small people like me would fall into such a miserable situation, but who would have thought that a high-ranking official in a state-owned enterprise could also end up like this? Let everyone see my glorious past. Last year, I still owned assets worth tens of millions of yuan. At that time, I had a factory, two houses, and two cars in Shanghai. But in the end, because of a I lost everything. My house, my car, and even the most valuable thing, my self-respect, were gone. Now, I have nothing. Some time ago, I sold my last car to get money to pay my employees. These days, I am also trying to adjust my state of mind. It may make people laugh at me, but right now, I only have a few dozen yuan left in my pocket. Recently, many people have asked me, Zheng Zheng, what are you going to do next? Work for hire to pay off your debts or continue to start a business? I want to say that if I only work for a salary, I probably won't be able to get back up in this life. If life doesn't go as planned, listen to my story. Last month, I was still a famous doctor in Shanghai. But now, I'm just a loser, with nearly 10 million yuan in debt, even after selling all my assets. In the past nine years, I've never seen life so harsh. Creditors surrounded me. My parents were old and weak. My children had grown up, and I was helpless. The road to repaying the debt left me exhausted, sleepless, and depressed. As a first class hospital specialist, I once had a brilliant career and a happy family. In 2008, I invested in helping my cousin expand his business, from coal mines to supermarkets. But in 2016, he ran away, leaving behind a huge debt. Blind ambition and poor decisions pushed me into the abyss. It took me 10 years to build everything, but it collapsed overnight. Dad, I have been unfilial and have made you worry all your life. This year, I can't come home for Tet, and I can't take care of you. But don't worry, I'll take care of myself. Today, I'm truly helpless. Before, when I had money, I didn't care about it. At that time, all I valued was human relationships. But now, with not a penny left in my pocket, I finally understand what it means to be poor. Today, I spent the whole day trying to borrow money, but I couldn't get a single cent. I used to own three restaurants, a bandage factory, and an online celebrity training company. At that time, I had a house, a car, and everything in my hands. But now, I'm in such a miserable situation. I never imagined this would happen. I just want to tell everyone listening. When you have money, don't spend it lavishly and don't lend it easily, because you never know when you might fall into poverty and not be able to borrow even a penny. Then, you will understand what it means to be humiliated, miserable, and desperate. Shanghai, the most international city in China, looks glamorous on the outside, but it cannot withstand the economic downturn. If even state-owned enterprises with strong government support are struggling, how will private enterprises and individuals survive? Shanghai has relied on real estate, finance, and middle-class consumption to maintain its prosperity. But in the past two to three years, everyone has clearly seen what happened. Housing prices have plummeted, and many people had no time to react. In the blink of an eye, seemingly solid assets suddenly lost a third or even half of their value. Those who once boasted about their high-class lifestyle in Shanghai, owning multiple properties, sending their children to expensive international schools, and shopping lavishly, are now the first to be caught up in the economic collapse. The truly rich left long ago or have overseas assets to fall back on. Low-income earners never took out mortgages. Life was already difficult for them, and they had nothing to lose. But the middle class, who borrowed money to buy houses, cars, and investments, and sent their children to expensive educational programs, are the ones who have suffered the most. The real estate slump has devalued their mortgages. Companies have cut salaries and laid off employees, especially white-collar workers, as businesses have left or downsized. The collapse of the financial system, from P2P lending platforms and trust companies to a host of other investment products, has dragged countless middle-class investors down with it. The stock market has become a bottomless pit. No matter how you invest, there is no way out. Some say this is just a market cycle, a temporary fluctuation. But looking at the streets of Shanghai, even the busiest downtown areas are full of rental properties, with transfer signs everywhere. The memory of a luxurious, magnificent Shanghai has long since faded. Shanghai no longer has room for luxury. Industries that once flourished, such as international education, private health care, art auctions, and yachting, are now in a state of decline. The rich have all left, and those who remain dare not spend. In this recessionary economy, who would dare to buy a million-dollar jade here? Amid economic downturn and increasing financial pressure, fewer and fewer Shanghai residents are dining out. Rising living costs, unstable incomes, and the risk of unemployment have forced many to tighten their spending, prioritizing essential needs over eating out. Restaurants, from budget to high-end, have seen a sharp drop in customers, forcing many establishments to cut staff, or even close. Doing business in Shanghai has become incredibly difficult. Perhaps this is also my last day here. Today, I stand at the bottom of the abyss of fate, my heart filled with confusion and helplessness, as this restaurant is about to close. I am bankrupt, with hundreds of millions in debt, not knowing what to do. Last year, filled with beautiful expectations for the future, I invested all my capital into opening this European restaurant. At that time, I was full of faith and ambition, believing this would be a major step toward success. When it first opened, the restaurant was always packed with customers, and everyone gave endless compliments. I truly believed I could expand and grow even stronger. But then, reality delivered a painful slap in the face. The business world is like a battlefield. Everything changes unpredictably. In just two short years, the business has gone downhill. Before Tet, the restaurant was so empty and lifeless that I lost all motivation to continue. So today, I reluctantly closed the restaurant, officially ending my entrepreneurial dream, at least for now. Not only did I fail to make any money, but I also lost everything, all my previous savings are gone. The amount of the betrothal gift is not important. What matters is his intention and who he is. It doesn't matter if he can't come up with hundreds of thousands of yuan, but if he can't even come up with tens of thousands, let him stay single. A blessed woman will not enter the home of an unblessed man. If he can't afford it, he will remain single. Who wouldn't want a betrothal gift? I think if he can't even give me a betrothal gift, he won't be able to give me anything else. Originally, we agreed on a betrothal gift of 100,000 yuan. But yesterday, my best friend told me to add another 100,000 yuan to test whether my husband was truly sincere. I didn't expect that as soon as I mentioned it to him, he wanted to break up with me. He didn't want to marry me. I was completely speechless. Then I told him that I was just testing him, but he took it seriously and said he no longer wanted to marry me. He said that true feelings cannot be tested, and once some things are tested, there is no way to fix them. So what should I do now? More and more young Chinese people are choosing not to get married. Statistics released by the Ministry of Civil Affairs of the Communist Party of China on February 8 showed that in 2024, the number of marriage registrations nationwide was 6.106 million, a new 45-year low, down 20.5% from 2023 and more than half of the peak in 2013. Due to the poor economic situation, many young people in the mainland have no desire to get married. With the high cost of childbirth, Chinese people's willingness to have children is now among the lowest in the world. Let's discuss this topic today. China is facing a population crisis, which has drawn significant attention from the authorities. In recent years, several measures have been introduced to encourage young people to marry and have children. For example, the government of Changshan County, Zhejiang Province, implemented a policy granting newlyweds a 1,000 yuan reward if they are 25 years old or younger. However, many netizens are not convinced. Technology blogger Jiang Huli Fuxiang, who has more than 500,000 followers, wrote, If marriage is truly good, why would anyone need to be urged? Who wouldn't pick up free money on the ground? This post received over 20,000 likes. Recently, after an elderly widow in Shanghai passed away, her vast estate was confiscated by the government. A lawyer reminded young people that, If you don't get married and have children, your estate will be confiscated, sparking heated discussions. The funniest joke of 2025 has arrived. A lawyer is telling the post-90s and post-millennium generations who don't marry or have children, If you don't get married or have children, your property will belong to the state if there's no one to inherit it. What was the first reaction of the post-90s and post-millennium? Why do you assume I won't spend all my money? If I can't spend it all, would I even be willing to die? Don't worry. I'll leave behind excess debt. If I don't take out a loan before my father dies, I'd be considered too kind-hearted. If I have an inheritance, does that mean I can't stay single and childless? This is the first time I've heard someone threaten me with something I don't even have. My only inheritance is my body. Take it if you want. I'm more worried about not having a burial site than about my children's future. This video has sparked heated discussions among netizens on overseas social platforms. Some netizens said, Is the Chinese Communist Party threatening us? Others mocked, The next policy of the Communist Party is probably to force all unmarried and childless people onto the organ donation list. Resist now, or do you have to wait until the day of your death to take action? Analysts believe that the current high unemployment rate among young people has affected the marriage rate. Many do not have the money to pay the hefty betrothal gift or buy a wedding house, so they choose not to marry. His mother worked as a textile factory worker all her life, earning only 2,000 yuan a month. After a lifetime of work, she managed to save only tens of thousands of yuan for retirement. She also has a small house for herself, and no other savings. His mother told him, Son, if you really want to get married, the only way I can help you is by giving you this house. I will rent a place or return to my hometown. This is all I can do for you. Any son with a conscience would struggle with the idea of making his mother, who has worked hard all her life, give up her only house and drive her out for the sake of marriage. Could you do such a thing? You couldn't, right? You said you could rely on yourself. After deducting all expenses each month, you can save 8,000 yuan, which is already a lot. That means you can save 8,000 yuan by living frugally and not spending a single cent. But how much does it cost to get married nowadays? The betrothal gift, the banquet, the four gold jewelry, and a car. Let's say she's a reasonable girl, and her family says a car isn't necessary. But there must be a wedding house. The couple needs a place to live after marriage, right? The house can be bought with a loan. Just pay the down payment and repay the mortgage after marriage. However, in reality, most women are unwilling to help repay the mortgage. He said that the cost of the betrothal gift and buying a house for the bride after marriage would be at least 500,000 yuan. Even if he saves 8,000 yuan a month at most, how long will it take to save 500,000 yuan? He also pointed out that his income is not particularly low. Many people only earn 4,000 to 5,000 yuan a month, or even just 3,000 to 4,000 yuan. My girlfriend is very, very good in every way, but every time we discuss this matter, we don't argue. Yet in the end, there is only one result, silence, and both of us feel utterly hopeless. And time is running out. If nothing unexpected happens, next year will probably be my last year. Even if I am given another year or two, if my situation remains the same, I don't see much hope. What do you say? Should we break up now? It's better to endure short-term pain than prolonged suffering. To be honest, I am no longer interested. And it's not just me. My girlfriend feels the same way. After all these years, I kept believing there was still a glimmer of hope. I kept thinking that if I worked harder, maybe I could make it work. Nowadays, is it difficult for an ordinary family to find a wife like that? Let me tell you. After buying a house, a car, and giving a betrothal gift, you still have to treat your wife with constant flattery after bringing her home. This has become the norm. If your son truly lacks the ability to support a family, doesn't earn much, and is just an average guy struggling financially, then don't spend so much money on his marriage. There are too many cases where people lose both their money and their spouse. It's better to keep the money for his old age, ensure he can live his life peacefully, and save enough for his later years. I think that's not a bad choice. The cost of raising a child is too high, making it a loss-making endeavor. Raising a child can no longer guarantee security in old age, so those who are not financially capable are not advised to pursue marriage. In the future, marriage will become a luxury. Nowadays, if you don't have a house, a car, or financial resources, getting married is nearly impossible. The issue is no longer about whether to have children, but rather that some people simply cannot afford to get married at all. Ordinary people really cannot earn 100,000 yuan a year. Earning 8,000 yuan a month amounts to only 96,000 yuan a year, and a salary of 8,000 yuan is already considered decent in most cities. It feels relatively high, yet it still falls short of 100,000 yuan per year. To get married, one needs to buy a car, a house, give a betrothal gift, and purchase the three gold items. While dating, one also needs to spend on food, drinks, gifts, and red envelopes. These expenses add up to at least 1.5 million yuan or more. If a man receives no financial help from his family, he would have to save for 15 years without spending a single cent. What about women? They can buy nice clothes, cosmetics, travel, and expect gifts and financial security. But what about men? Even among those who do get married, many do not want children. Due to the high cost of childbirth and the difficulty women face in balancing family and work, the willingness of Chinese people to have children is now among the lowest in the world.