For more news and videos visit ➡ ‪english.ntdtv.com‬ Follow us on Twitter ➡ ‪http Add us on Facebook ➡ ‪on.fb.me As China's real estate market continues to cool, experts have warned that a collapse in the market could spell disaster for the economy. This poses a dilemma for the Chinese regime. Sky-high property prices can fuel social tensions, but a reverse of the property boom could damage Beijing's bid to maintain the economy. A dramatic fall in China's real estate market could have disastrous effects on the economy, according to one of the country's top social researchers. The deputy director of the Chinese Academy of Social Science issued the warning on Monday, at the release of its 2012 Blue Book on China's Society. Li Peilin said real estate development around China is now closely tied to each region's economic development, and if the market collapsed, it would "have a fatal impact on the economy." Professor Frank Tian Xie from the University of South Carolina-Aiken agrees. [Frank Tian Xie, University of South Carolina Aiken]: "It is entirely possible for the economy to be rocked by a sudden fall in home prices. That's because new homes, those on the market and those being developed are all financed through mortgages, and through investment by state-owned banks. If property prices fall, and the debts go bad, it'll drag down the financial system." For China's local authorities, land and property sales can account for more than 50% of their income. And while a ...