Hi KJC, I think it is safe to ignore or disregard Steve Liesman's thoughts, a variation of 'how it is different this time' standard script piled on top of 'it is safe to invest' hope.
<<Just don't be spooked by the byproducts of economic growth. Housing can slow, interest rates can rise and the dollar can appreciate all without crippling the recovery. Economic growth created those winds. And it'll drive right through them.>>
I am the survivor of numerous real estate boom/bust cycles, and I know for a fact, by first hand experience, that real estates do blow up, and a 20% blow-up can easily wipe out equity, push one against the wall, create panic-sell wave, further depressing market price, setting up for more consequent damage.
The Steve Liesman, Mike Norman and Gene Epsteins of this world will have their heads handed to them in a basket as the blade of economic justice exact its due.
Economics is so simple as soon as they raise their sight from their tomes and see the world for what it actually is, a world of hundreds of millions of folks doing this ... Subject 53628 (brought to you by your fellow threader :0), risking capital, protecting wealth, and watching out for number uno. Steve can stick his hand out the window. I suggest we keep driving, and see if he gets his hand handed to him, along with his head :0)
It is almost as if Steve, Mike, Gene, and Greensputin never heard of a place called Japan, never was aware of another place named Hong Kong, know nothing about Argentina, and never read about 1929. They have an education ahead of them.
Chugs, Jay |
