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Strategies & Market Trends : The Residential Real Estate Crash Index -- Ignore unavailable to you. Want to Upgrade?

To: gpowell who wrote (17079)	2/10/2004 2:35:22 PM
From: Elroy Jetson	Read Replies (1) \| Respond to of 306849

Everything will be revealed in the fullness of time. Everyone places their bets based on their interpretation of events and then you get to see if you're right. "Total Credit Market Debt" home.pacbell.net Personally I believe the chart above tells the story. You can use debt to borrow demand from the future, and then even further from the future . . . until there's a lack of confidence in repayment by the lenders, or until debtor's incomes simply can't accommodate further debt service. Essentially, Japan is currently funding our spending. Will a falling dollar make them suddenly decide to cut off further credit? According to Austrian economics, excessive debt (aka lack or destruction of capital) is what causes economic depressions. I think this describes the chart above.