Gold & Gold Stock Analysis Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Gold/Mining/Energy : Gold & Gold Stock Analysis

GLD 368.18

-0.5%

Oct 31 5:00 PM EST

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

From: Kaena™	8/4/2011 6:01:25 PM
	of 29622

Many "deflationists" base their conclusions on "relatively" short-term time frames as is the case with the former pillar of strength for the US economy, the housing sector. Instead, taking a longer view with a broader perspective, we see from economist Robert Shiller's inflation-adjusted History of Home Values Index going back 116 years, that even with the 5-year steep decline in home values since the peak in July 2006, home values at 140 are still 40% INFLATED above the 116-year benchmark. I.e., inflation . . . no deflation. But for anyone making the argument that more current data that reflect the realities of the world we live in today should be given greater consideration, one could ignore the first ~60 years to focus on a shorter time frame since the end of World War II to make the argument that the 115-110 level would be a more reasonable mean reversion of home values for the past ~60 years. In this case, home values at 140 would still remain inflated between 22-27% . . . still no deflation. See chart here: i1191.photobucket.com

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next