US=>Japan

Discussion in 'Economics' started by ShoeshineBoy, Feb 1, 2008.

  1. imo, the house prices will not go as much down as you assume they will

    i know places within foreign countries where you could not live, and would not live even if you could, and yet the house prices are close to or even greater than that of large cities in US (yes, in USD terms), whereby incomes in those countries are like 75% less than US incomes

    majority of people in those countries can not afford a house, not even with a 100% loan, but yet the house prices do not drop, and in some countries or cities increase by 20% or more annually

    one reason is; the people who are making profit from buying houses and renting them out, collecting those rents and buying new buildings to rent out, are always in business, there are so many people who will rent at crazy prices.

    in case more USD is flooded into the market (which what is happening), there will be more millionaires, these millionaires will have to preserve the value of the money they 'as they have it' have earned, to do so they will buy homes and apartments and rent them out, to those whom their houses have been foreclosed
     
    #11     Feb 2, 2008
  2. clacy

    clacy

    Are we a wealthy country because of our military, or do we have the stonget military because we are the wealthiest country?

    I would argue that it takes economic superiority to have and maintain military superiority.
     
    #12     Feb 2, 2008
  3. Jubak isn't arguing that the US is going to end as a superpower or even THE superpower. He's just saying that if we're not careful, we can injure ourselves economically.
     
    #13     Feb 2, 2008
  4. Lots of great points - good post.
     
    #14     Feb 2, 2008
  5. I don't think Japan's ten year malaise had anything to do with not having a lot of natural resources. Grossly overinflating the money supply is what killed them and then the banks faking the books just extended the "recovery"...
     
    #15     Feb 2, 2008
  6. didn't seem to deter 19 Saudis with little more than box cutters and fake student visas from causing trillions in losses
     
    #16     Feb 2, 2008