tag:blogger.com,1999:blog-11719208.post1269248985701166299..comments2023-11-05T04:36:14.223-08:00Comments on The Mess That Greenspan Made: Maybe economic theory is wrongTimhttp://www.blogger.com/profile/16530974968126497397noreply@blogger.comBlogger3125tag:blogger.com,1999:blog-11719208.post-90597831772418004522009-10-14T07:38:40.958-07:002009-10-14T07:38:40.958-07:00The "investment" component of housing is...The "investment" component of housing is ridiculous. Its nothing more than artificial shortages created by over zealous zoning boards. This causes each successive generation to work more hours to buy the same home, until they refuse to work any more overtime to finance it.<br /><br />IOW, a Ponzi scheme.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-11719208.post-52014879875975119542009-10-13T07:43:24.208-07:002009-10-13T07:43:24.208-07:00Unfortunately, it seems to be 'Austrian School...Unfortunately, it seems to be 'Austrian School' that is making a come back.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-11719208.post-70490960262929799852009-10-12T09:14:14.260-07:002009-10-12T09:14:14.260-07:00I think OER is fine for the CPI.
The CPI is jus...I think OER is fine for the CPI. <br /><br />The CPI is just a tool.<br /><br />Case-Shiller is a tool also. <br /><br />If CPI and Case-Shiller is not matching then something weird is going on. Like a Housing Bubble?!? <br /><br />But unfortunately, according to modern macro theory (pre-GFC) bubbles barely exist and if they do they don't cause havoc. See Effecient Market Hypothesis and Price Theory.<br /><br />CPI is consumer inflation.<br />It is asset inflation that was missed by the economists,et al.Adam2https://www.blogger.com/profile/03710514839937913226noreply@blogger.com