When home prices go up, it seems that most people think that they can only continue to rise. When they stop rising, the critics of the previous view are listened to: maybe, today is the day that the crash starts. If only market analysis were that simple.
A long time ago, Paul Krugman said that there were three types of economics. With “airport economics”, things will either go up or down. The future will either be everlasting happiness or pain and devastation. These simplistic claims are not taught in a classroom because insight comes from a deeper awareness of nuances. Continue reading