Are asset prices insane? Home prices are high but in-line with the long-term trend on a real basis. The stock market is rallying but it's been mostly becasue earnings are good. Why would you mention the great depression? To be honest it makes you seem unhinged and not credible.
> Are asset prices insane? Home prices are high but in-line with the long-term trend on a real basis
They are insane compared to the relative growth, or lack thereof, of median wages, yes. If an assets continues appreciating even past the point it's accessible to the vast majority of the population, "supply and demand econ 101" is no longer working. When that asset is one of the most critical components of life (housing) and on which many lives are built around (be it where one lives and works, or how many kids one can afford to house, or the community one can have), this is unquestionably not good and can have wild ramifications. Disenfranchised young people are a dangerous political force, while population declines could break economic models as we understand them today (it's bordering on the impossible to have infinite growth when the population is declining).
Well I’m not saying I agree with it, but a comparison to the Great Depression is not out of context for an article comparing today’s economic situation to that immediately preceding the Great Depression!
Why would someone mention the great depression in a comment about an article comparing the economy 2024 to the economy right before great depression?
Yeah good point, I don't know why anyone would read and then discuss an article on a site dedicated to discussing linked articles. It must be gp who has no credibility - how dare they comment on-topic!
