High Unemployment Rate "New Normal" For U.S., Says Joseph Stiglitz

Originally posted by Zanti Misfit
reply to post by Pentothal

 

Ah , your whole Post does Not make sense . There Will ALWAYS be a Demand for Housing,. The Jobs I mentioned Are ALWAYS in Demand . It is the Federal Goverment and their Insane Policies that Are NOT in Demand Right Now . Get it ?

Yes there is ALWAYS demand. That is not the issue and not what I was indicating. There is VERY low demand. Lower demand means that prices fall as the sellers fight for the business of the buyers. Therefore it is not wise to build houses when the prices fall. Inventories rise and prices fall further. Get it?

As to your second point I agree totally. The government should get out of the way and let the market find the level. It will be a much harsher and sharper downturn but it will recover quicker.