Firstly, Chanos was asked about shorting opportunities and he said he could find a few more opportunities in the U.S due to higher valuations notably in the alternative energy and healthcare sectors.
But most part of the interview was focus on China where both acknowledged the real estate bubble and that property prices started to move lower in China. Jim Chanos sees a hard landing and even compared China to the Soviet Union which had 6-8% growth rates for almost 40 years based on illusion. However, El-Erian rather sees China having a soft landing and dismissed the ideas of comparing China to the Soviet Union as China is "tested" daily by the markets.
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