Is the real estate bubble a hot air balloon?

China has some problems with its economy despite a promising outlook, and one of them is surging housing prices.

Over the past month, the government has adopted several measures to curb soaring property prices and stop speculation, but economists and industry insiders say they would take time to work.

A recent New York Times report, quoting Wall Street hedge fund investor James S. Chanos, warned that China's economy was headed for a crash. "Its (China's) surging real estate sector, buoyed by a flood of speculative capital, looks like 'Dubai times 1,000 - or worse'," Chanos said.