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Strategies & Market Trends : The Residential Real Estate Crash Index

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To: Perspective who wrote (241400)3/18/2010 10:42:43 PM
From: ChanceIsRead Replies (1) of 306849
 
RE: Comps Vice WWII

You have to remember that there are a generation's worth of differences between WWII and today. Both epochs funded massive wars - only WWII was a worthy cause and brought out the national spirit in everybody. No disrespect to our service men and service women today. God bless them. In WWII we supplied the world with oil. Today the Middle East is supplying the war fuel at the ruin of our trade deficit. WWII had an end in sight for day one. There is no apparent end in Afghanistan and Iraq, although Nancy Pelosi claimed that the 2006 election was a referendum on the war.

Wars are stimulative, and when WWII ended there was a significant recession. One also has to recall that going into WWII, the men worked and the women stayed at home and raised the children. No sexism intended - just the facts. Today we have both adults working - and paying huge child care and housing costs. If we end the war, the stimulus will be gone, and the military service people will be out of a job - just like in WWII. But the bills require two workers unlike WWII.

Debt on a personal and national level was very low going into WWII. Don't know about corporate. We went into this mess with a mountain of debt.

Post WWII, we were the only nation which hadn't had its infrastructure wiped out. We faced no competition. Today there is world wide idle productive capacity.

Oh. We still seem to be the premier agricultural producer.
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